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PLACE

Dr.Farzana Gulzar
INTERNATIONAL DISTRIBUTION
CHANNELS:
• There can be two decisions regarding channels:

• Using home country channels

• Using host country channels


Home based channels:
• There can be different options:
• Export Management Company
• Export Agents
• Direct exporting (using sales force)
Host based channels:
• Import intermediaries
• Local wholesalers
• Retailers
• End user
Elements:
• Channel density: total number of outlets

• Channel length: total number of intermediaries

• Channel alignment: interconnected

• Distribution logistics: physical flow


Channel density:
• It can take following forms:

• Extensive(for convenience goods)

• Selective (for shopping goods)

• Exclusive( for hard core brand loyal)


Distribution logistics
• This includes:

• Order processing

• Ware housing

• transportation
Factors impacting channel decision:
• Cost (initial cost)
• Maintenance cost
• Capital requirement
• Product and product line
• Control
Factors
• Coverage

• Synergy

• Customer characteristics
Emerging Trends in distribution:
• Growth and organization of retail sector
• Direct marketing
• Information technology
• 24x 7 working hours
• Online marketing
•THANKS

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