The Main Difference Of A Merchandising Company Over A Service Company Is:, Select One:, A. It Has Production Facilities, B. It Does Not Need Employees

The main difference of a merchandising company over a service company is:

Select one:
a. It has production facilities
b. It does not need employees.
c. It provides tangible products
d. It has no inventory

Answer: C

 

Answer: (C) It provides tangible products

Explanation:

Choice C is the best answer as a merchandising business buys goods from producers and sells them just like buy-and-sell. Unlike service business which offers services, a merchandising business offers tangible products.

• a. It has production facilities  - this is for manufacturing business
• b. It does not need employees - a merchandising business needs employees unless its technology is really advance but it is still not the answer.
• d. It has no inventory  - a merchandising business clearly needs an inventory to record their purchases of goods, sales, etc.

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