1- Do You Agree with this Statement? Why

1. Omni channel distribution is the means of diversifying how a company ultimately reaches a consumer with their product. Companies now have the ability to reach consumers with multiple avenues depending on how they'd like to approach delivering different products. This has really taken off in the age of online shopping as a retail location is no longer an absolute requirement to sell products. Companies like Amazon can receive products from different suppliers, house them in their DC's and send products to customers. Or a company like Pepsi can have a franchise bottler produce beverages and Pepsi handles the transport and distribution of the actual beverages. They can also go directly from the production facility to a Pepsi owned distribution center, completely skip a retailer DC and send product directly to stores. Omni channel differs from retail stores as most retail stores do no produce their own products. They are the final mile in the distribution channel and do no have the ability to re as flexible as online retailers.

Deciding where a plant or distribution center will be located is one that takes quite a bit of planning. One very important factor is ease of access. Selecting a location that is centrally located to your retailers and production facilities is key. Transportation is one of the highest costs in the supply chain. The time and cost of transporting finished goods to the DC must considered. Another factor in determining the site of the distribution center is the weather. More so, is it somewhere that the finished goods can be damaged or lose integrity if it gets too hot or too cold during the transit or storage. The labor climate is key as well. Is the distribution center in a location where hourly workers are able to look for jobs or commute to. At any large DC, attracting and maintaining employees is key to success and longevity. There are a few other critical factors such as proximity to the customer base and supplier networks, land costs/utilities, as well as company preferences.