If the expansion into Brazil is merely a sales operation, then distributor storage with last mile delivery is the best network design. If the expanded operations
include manufacturing capabilities, then manufacturer storage with direct shipping is a strong possibility. Given the nature of the product, package carrier
delivery is not an option and retail storage with customer pickup is out of the question since this is a B2B scenario. In-transit merge would be an option only if
the manufacturer established a network of plants in Brazil, perhaps focused factories relatively close to each customer.
The chemical company has only five customers to serve; it would not require too large an investment in logistical infrastructure to effectively serve all five
without intervention by a distributor. Their short supply chain would be easier to coordinate due to the stable demands and information sharing that is possible
in a B2B scenario.