Which of the following statements is not a potential problem with appointing vendors as category captains?
A. The dependence on the vendor category captain may cause a retailer to miss opportunity for increasing margins through their private-label SKUs.
B. Vendors could take advantage of their position by suggesting an assortment plan that includes most of its SKUs and exclude other SKUs that contribute more so to the retailer's profitability.
C. The vendor category captain could block other brands from access to shelf space.
D. The vendor category captain could collude with the retailer to fix prices.
E. Appointing vendors as category captains makes merchandise management tasks difficult for retailers.
Answer: E
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