Final answer:
Alternative sources of supply located closer to the demand locale can present lower transportation costs and higher demand.
Step-by-step explanation:
Alternative sources of supply located closer to the demand locale present lower transportation costs. When suppliers are located closer to the demand, it reduces the distance that goods need to travel, resulting in lower transportation costs.
For example, if a manufacturer can source raw materials from a supplier that is nearby, they can save on transportation expenses.
Closer sources of supply may also present higher demand. When suppliers are close to the demand locale, they can respond more quickly to customer orders, leading to increased demand.
For instance, if a restaurant sources its ingredients from local farmers, it can advertise the use of fresh, locally sourced produce, attracting more customers.
Therefore, the correct answer is A) Lower transportation costs and B) Higher demand.