What is the process of using intermediaries in the distribution channel between the manufacturer and consumers?

What is the process of using intermediaries in the distribution channel between the manufacturer and consumers?

• A. Intermediaries
• B. A two-level distribution channel
• C. Intermediation
• D. Retailers

Answer: (C)

Intermediation is the act of using middlemen to move products from producer to consumer. It describes the process where intermediaries—such as wholesalers, retailers, agents, or brokers—perform the functions that connect production with consumption. These functions include breaking bulk, providing assortment, storing and transporting goods, financing, and reducing risk, all of which help get the product to the right place at the right time. So, the term that best captures the act of utilizing these middlemen in the distribution path is intermediation. The other terms point to who the middlemen are (intermediaries), a specific channel structure (a two-level distribution channel), or a type of intermediary (retailers), rather than the action of using them.

Intermediation is the act of using middlemen to move products from producer to consumer. It describes the process where intermediaries—such as wholesalers, retailers, agents, or brokers—perform the functions that connect production with consumption. These functions include breaking bulk, providing assortment, storing and transporting goods, financing, and reducing risk, all of which help get the product to the right place at the right time. So, the term that best captures the act of utilizing these middlemen in the distribution path is intermediation. The other terms point to who the middlemen are (intermediaries), a specific channel structure (a two-level distribution channel), or a type of intermediary (retailers), rather than the action of using them.