Question

To boost sales in the southeast, eagle brand is offering area supermarkets a trade deal on its sweetened condensed milk for the next 30 days. eagle brand hopes supermarkets will pass along the savings to consumers in the form of "specials." buyers at shop-n-save, a national chain of supermarkets, are buying enough eagle brand sweetened condensed milk through its southeastern regional buying office to supply all its stores nationally and shipping the canned milk to other parts of the country. shop-n-save is engaging in:

Answer 1

Shop-n-save is engaging in what we call diverting. This a run through in sales in which goods envisioned for a certain market are diverted or unfocussed to be traded in another, typically without the awareness and knowledge or authorization of the main vendor. 

Answer 2

Answer: The correct answer is Diversion.

Explanation: In this case Eagle Brand is offering a discount for a particular geographic area in order to increase sales in that area. Shop-n-Save is engaging in a tactic called diversion. Diversion is defined as a practice in which goods intended for a particular market are diverted to be sold in another, usually without the knowledge or permission of the primary vendor.