Which statement best describes how fulfillment centers differ from direct distribution?

• A. The manufacturer controls all aspects of distribution.
• B. Fulfillment centers pack and ship for a manufacturer.
• C. Inventory is created on-demand rather than stored.
• D. Warehousing is a primary role.

Answer: (B)

Fulfillment centers specialize in storing inventory and handling order fulfillment for a manufacturer. Their main job is to receive stock, pick items for each customer order, pack them, and ship to the customer, often through integrated systems with online sales channels. This differs from direct distribution, where the manufacturer ships products straight to retailers or end customers and manages the distribution flow without an intermediary handling daily packing and shipping. So the statement that best describes the difference is that fulfillment centers pack and ship for a manufacturer. While warehousing is part of what they do, the defining feature is providing the end-to-end fulfillment service rather than the manufacturer controlling all distribution directly.