Explanation

(a)Marketing; is the business activity that directs the flow of goods and services from the producers to the final consumers. Marketing creates time, place, possession and form utilities. It arranges for producing and making goods available at the right time, in the right place and at the right price and form.

(b) The following are reasons why a manufacturer may sell directly to Consumers:

(i) The Manufacturer may sell directly to consumers when the goods are of perishable nature.

(ii) Where branded goods are involved such as tea, cigarettes, the manufacturer would gain by dealing directly with customers.

(iii) Where expensive goods like jewellery, furniture, large machinery are involved, the manufacturer prefers to deal directly with the customer.

(iv) Where the article is so standardized that it has a wide demand, the manufacturer would gain more by dealing directly with the customers.

(v) When goods with low rate of turnover are involved, the manufacturer sells directly to consumers.

(vi) Where technical or specialized knowledge of the product is a necessity as is the case with computers and photocopiers, the manufacturer usually prefers to deal directly with the consumer.
 

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