Remedying a cost disadvantage associated with activities performed by forward channel partners (wholesale distributors and retail dealers) would not involve
A. pressuring distributors/dealers and other forward channel allies to reduce their costs and markups.
B. changing to a more economical distribution strategy such as putting more emphasis on cheaper distribution channels (perhaps direct sales via the Internet) or perhaps integrating forward into company-owned retail outlets.
C. collaborating with forward channel allies to identify win-win opportunities to reduce costs.
D. insisting on across-the-board cost cuts in all value chain activities-those performed by suppliers, those performed in-house, and those performed by distributors/dealers.
E. enhancing differentiation through activities such as cooperative advertising at the forward end of the value chain.
Answer: D
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