Question

Read the case given below and answer the questions that follow.

A manufacturing company produces organic food products. To ensure timely delivery, the company uses its own fleet of vehicles and partners with warehousing services. However, due to a lack of advertising, customers are unaware of its products, leading to low sales.

1. Which hindrance in commerce is highlighted in this case?
2. Suggest one auxiliary to trade that the company should use to address the issue of low sales.
3. Evaluate the importance of auxiliaries to trade, such as transportation, warehousing, and advertising, in ensuring the success of the manufacturing company.

Answer 1

1. Hindrance of knowledge.
2. Advertising services can be used to promote the company's products and create brand awareness.
3. Trade auxiliaries such as transportation and warehousing ensure that products reach customers promptly and in proper condition. However, without advertising, customers may not know the benefits of the product. Effective use of all these services together is crucial for the success of the company.