Verbena Foods, a company that specialises in vegetarian food and beverages, with its main branches in Johannesburg, Cape Town and Durban, is expanding its product line to cater for vegans. The company's primary target is youth between the ages of 25 and 37. Most of their stores are located in suburban areas, where young people of these ages mingle, dine and have fun. As part of the management team, you are expected to offer your expertise and knowledge in assessing whether or not this move will be successful.

As a retailer, you need to think about your distribution strategy and how your strategy provides you with a competitive advantage. Research and thoroughly examine each of these areas about your company, Verbena Foods: Channel design; Channel coverage; and Channel management Note: Think about the distribution strategies used by widely known companies that offer vegan and vegetarian food. In your answer, also think about your supply chain.[45 MARKS]