Marketing - What is Discrepancy of Quantity

The video tutorial discusses the importance of designing effective distribution channels to address the discrepancy of quantity, which is the difference between the amount of product produced and the amount consumers want to buy. It explains the roles of direct and indirect channels, highlighting how accumulating and bulk breaking help overcome these discrepancies by providing choices and breaking down large quantities for consumers.

What is the discrepancy of quantity in the context of distribution channels?

• The difference between the cost of production and selling price

• The gap between the amount produced and the amount consumers want

• The difference in marketing strategies used by producers

• The variation in product quality across different batches

Why might a manufacturer choose to use indirect channels of distribution?

• To sell directly to millions of consumers

• To reduce production costs

• To sell to a few retailers who then sell to many consumers

• To increase the price of the product

What is the primary function of accumulating in distribution channels?

• To increase the production rate

• To store products for longer periods

• To gather multiple units of a product for consumer choice

• To reduce the number of retailers

How does bulk breaking benefit consumers?

• By providing individual options from a large collection

• By allowing them to purchase large quantities at once

• By reducing the overall cost of the product

• By increasing the number of available retailers

Which strategy helps outlets manage large shipments from manufacturers?

• Direct selling

• Accumulating

• Bulk breaking

• Price adjustment