Definition
Pricing that includes all transportation costs and where the seller retains the title to the goods until they are delivered to the customer. Two basic kinds of UDP are: (1) Single-zone pricing where all customers, irrespective of their distance from the seller, pay the same delivered price. Also called postage stamp pricing. (2) Multi-zone pricing where a geographic area is divided into zones according to the distance from the seller's dispatch point. Whereas different prices are charged for different zones, prices remain the same within a zone.
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