Which one of the following distribution strategies has the LEAST potential to save transportation costs, inbound and/or outbound?

Group of answer choices

A. Direct shipping
B. Cross-docking warehouses
C. Centralized warehouses for vendors to send in goods
D. Decentralized warehouses for customers to receive goodsLocal warehouses to ship to local markets

"Centralized warehouses for vendors to send in goods" distribution strategies has the LEAST potential to save transportation costs, inbound and/or outbound.

Option C

Explanation:

Centralized dispersion is a way of dividing suppliers ' receipt of the product and its onward delivery to the individual departments of a numerous retail chain. Supplier supplies are delivered to a central area, typically in full load, rather than to division.

It may result into less saving of transportation charges than the other distribution methods. Although it generates more employment due to need of more man power deployment throughout the distribution process. Delays in work and lack of employee loyalty are also demerits of centralized distribution system.

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