All of the following are advantages of using a distribution center except
A. more accurate sales forecasts are possible.
B. it is easier to avoid running out of stock or having too much stock.
C. retailers need to keep less merchandise in the store as inventory if the stores get frequent deliveries.
D. customers know they are dealing with a more sophisticated and financially well-off operation if the firm uses a distribution center.
E. use of a distribution center saves money since the storage space at a distribution center is generally less expensive than that of a store.
Answer: D
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