Question

Entities that place their own shelving in stores and continuously stock those shelves (thus, relieving the host store of dealing with this activity) are known as ______.

a) Distributors
b) Retailers
c) Consignment suppliers
d) Independent promoters

Answer 1

C) Consignment suppliers are entities that manage their own shelving and inventory within a host retailer's store, maintaining ownership of products until they are sold.

Step-by-step explanation:

The entities that place their own shelving in stores and continuously stock those shelves, thus relieving the host store of dealing with this activity, are known as c) consignment suppliers.

These suppliers are in charge of managing their inventory within another retailer’s store, which means they do not sell the goods directly to the retailer but maintain ownership of the products until they are sold to the end customer.

This model benefits both the consignment suppliers, by giving them control over how their products are displayed and stocked, and the host stores, as it reduces their inventory risk and management workload.