Question

Throughout the world, Sony sells its tvs through retailers. Which of the following is probably a reason for using this indirect distribution strategy?

a. Sony's customers prefer to buy direct from Sony
b. Sony's customers do not know which intermediaries sell its televisions
c. SOny oucld more effectively serve customers by selling through its websitte
d. SOny believes that some intermediaries can serve customer needs better than Sony and at lower cost

Answer 1

Sony likely uses retailers for TV sales due to retailers' ability to offer better customer service and lower costs. The correct option is D.

Step-by-step explanation:

The indirect distribution strategy of selling televisions through retailers, as employed by Sony, is likely attributed to the belief that intermediaries can better serve customer needs and at a lower cost than direct sales. By utilizing retailers, Sony leverages the retailers' market presence, infrastructure, and customer service capabilities.

Retailers offer consumers the opportunity to experience products firsthand and provide added value through services like installation and support. Thus, Sony can focus on its core competencies in product development while allowing retailers to handle distribution and sales.