Final answer:
To strengthen the chances of direct distribution, D) low listing fees in the industry and a well-respected brand name are key factors.
Step-by-step explanation:
The student has asked which of the following will strengthen the chances of direct distribution. Among the options, letter D) Low listing fees in the industry would likely strengthen the chances of direct distribution.
Low listing fees reduce the barrier to entry for a producer to list their products in marketplaces or on sale platforms, potentially making it more affordable to sell directly to consumers without the need for intermediaries.
Options such as scattered target consumers or reduced shelf space in outlets would typically discourage direct distribution since they would represent challenges in reaching the consumer or displaying products effectively.
A well-respected brand name that has been built up over many years would also strengthen direct distribution. A strong brand can create trust and consumer loyalty, making customers more likely to purchase directly from the brand.
In an industry where economies of scale are minimal relative to the demand, direct distribution can be advantageous as well because it allows firms to bypass middlemen, reducing costs and potentially passing on those savings to consumers, leading to an increase in consumer income levels due to lower prices.
Therefore, a combination of low industry fees and a strong brand presence are factors that strengthen direct distribution.