Distribution channel for a service:A distribution channel is a path through which the goods or services move from the company to the customer or the transfer of payment takes place from the customer to the company. Distribution channel refers to the selling of products or services directly or through different intermediaries like wholesalers, retailers, etc.The same applies for payment transfer from the customer to the company i.e. it can be paid directly or through those intermediaries.Designing a distribution system for a service (for-profit or non-business context) involves selecting the parties not only through which ownership will pass but also making sure that the quality of services which is being transferred remains constant throughout the channel of distribution until it reaches the final consumer.The ownership channel for most of the services is short and not complex because of the inseparable characteristic. Long channels in the distribution channel of service might result in a decrease in the value-added to the customer. Short channels provide more control on the part of sellers as they can provide special services with immediate responses as there is direct contact between the seller and the customer in short channels.Therefore, from the above explanation it is clear that Statements (I) and (II) are not correct but (III) is correct.