Unified Grocers (“Unified”) is the largest grocery wholesaler inthe western United States. Unified inventories millions of units ofhundreds of well-known brands, and it distributes these products toretailers of all shapes and sizes. Golden Creme, Special Value, andWestern Family are familiar names to consumers throughout theWest.
Recently, Unified has unveiled a new addition to its privatelabel offerings “designed to appeal to the growing consumerpreference for natural and organic products.” Unified willinventory natural and organic products, and market them toretailers under the Natural Directions brand. As it does so, itwill work with multiple intermediaries in a number of distributionchannels, coordinating with suppliers and retailers to offerproducts like fair trade coffee, organic applesauce, and acaiaronia juice to consumers. But if Unified can source the productsand sell them under its own private label brand, why not selldirectly to consumers and cut out additional intermediaries?
1.
Unified grows its inventory by purchasing from producers andthen it distributes these products to retailers of all shapes andsizes. Which logistic function does this represent?
Materials handling
Warehousing
Inventory management
Order processing
2. Which of the following is not a benefit of Unified usingmultiple intermediaries?
Making the distribution channel as short as possible
Reducing expenses
Performing services more efficiently
Functioning more efficiently
Unified Grocers (“Unified”) is the largest grocery wholesaler in the western United States. Unified inventories millions
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