One important reason channel members are included between producers and users is the concept of specialization and division of labor. Define these concepts and explain their roles in channels of distribution.
What will be an ideal response?
Specialization and division of labor break down a complex task into smaller, simpler ones and allocate them to specialists, which results in much greater efficiency. Marketing channels achieve economies of scale through specialization and division of labor. Some producers do not have the interest, financing, or expertise to market directly to end users or consumers. These producers use channel members to perform functions and activities that the producers are not equipped to perform or that these intermediaries are better prepared to perform. Channel members can perform some functions and activities more efficiently than producers, and they enhance the overall performance of the channel because of their specialized expertise.
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