Decision Point: Why You Should Use a Wholesaler

Now that the supplier of the nori has been chosen and the transportation method selected, you turn your attention to the downstream side of the supply chain $--$ the marketing $($distribution$)$ channels.

Currently, Umami pea and cracker snacks are shipped directly from the production facility to the retailer. Umami snacks are available in four retail chains across the United States. You believe that adding a food wholesaler to the distribution chain would benefit Umami. When you present this recommendation to the owners, which argument will be your primary basis for the recommendation?

Select an option from the choices below and click Submit.

More control: Adding a wholesaler to the channel gives Umami more control over the channel.

Fewer contacts: Adding a wholesaler to the channel reduces the number of Umami's contacts.

Lower price: Adding a wholesaler to the distribution chain will reduce prices to consumers.