( ISSN 2277 - 9809 (online) ISSN 2348 - 9359 (Print) ) New DOI : 10.32804/IRJMSH

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DISTRIBUTION CHANNEL: DIRECT OR INDIRECT

    1 Author(s):  MAHIMA

Vol -  6, Issue- 4 ,         Page(s) : 162 - 168  (2015 ) DOI : https://doi.org/10.32804/IRJMSH

Abstract

In a context of industrial or consumer products, manufacturers differ how they distribute their products to the consumer. Some of them distribute intensively (using a lot of intermediaries) or exclusively (directly to the consumer). In this paper, we study the problem of the choice of a direct or an indirect distribution. Distribution structure has received little attention by marketing scholars with few empirical studies concerning the channel design. The issue is analyzed by an overview of determinants of distribution structure in literature. The results show that the four most important factors that affect company’s choice of distribution channel are: (1) consumer habits; (2) product characteristics; (3) the market; and (4) company factors.

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