Final answer:
Luxury goods firms such as Coach use exclusive distribution strategy to limit sales to select, higher-end retailers in each region.
Step-by-step explanation:
The distribution strategy that luxury goods firms such as Coach use to limit sales to select, higher-end retailers in each region is exclusive distribution. Exclusive distribution involves selecting only a few retailers or partners to sell the luxury goods, ensuring that they maintain a sense of exclusivity and prestige.
For example, Coach may choose to partner with high-end department stores or specialty boutiques in specific regions, granting them exclusive rights to sell their products. This strategy allows Coach to control the brand image, maintain higher price points, and target a specific demographic.
This approach is different from intensive distribution, where the products are widely available through multiple retailers, and mass distribution, which aims to reach as many consumers as possible through various channels.
Selective distribution is also a distribution strategy, but it involves carefully choosing specific retailers based on certain criteria rather than limited exclusivity.