• Author / Uploaded
• Yefry Ortega

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Let’s listen 1. Distribution channel is the main strategy that helps dealers to penetrate the target market. 2. A wide diversity of factors such as nature of the products, market, and business, among others, requires to be analyzed to decide the most convenient distribution channel. 3. Market is the interchange of prices in which some people offer any merchandise and others buy it, paid a negotiated price. 4. Consumers obtain services or goods to satisfy their needs. 5. Companies get together people who have similar goals and expect them to satisfy the consumers’ needs.

Strategic plan of distribution

Distribution channel It is the way that goods or services use to pass from the producer to the end consumers.

Producer

The initial point of the distribution channel; people or companies who manufactures goods or services.

Intermediary

People or firms that mediate in transaction between producer and consumers.

Consumers

The commercial target of the distribution channel

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Types of distribution channel

Indirect channel Direct channel A distribution channel is often indirect, because there are intermediaries between the supplier and the user or consumer.

The producer or manufacturer sells the product or service directly to consumers without intermediaries.

Manufacture - consumer Short channel Manufactures – RetailerConsumers

Long channel Manufacture – wholesaleRetailer - Consumer

Let’s see in detail some information about intermediaries.

Example: A hairdresser provides the service and sells it without intermediaries.

Vocabulary

Example: The marketing of automobiles, appliances, designer clothes, among, require who could have exclusivity for area sales.