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Chapter 21: Distribution

AB
channel of distributionThe path a product takes from its producer or manufacturer to the final user
intermediaryMiddleman business involved in sales transactions that move products from the manufacturer to the final user
wholesalerA business that obtains goods from manufacturers and resells them to organizational users, other wholesalers, and retailers, also called distributors
rack jobberOne who manages inventory and merchandising for retailers bycounting stock, filling the shelves when needed, and maintaining store displays
drop shipperOne who owns the goods he or she sells, but does not physicallyhandle the actual products
retailerA businesses that buys goods from wholesalers or directly frommanufacturers and resells them to consumers
brick-and-mortar retailerA traditional retailer who sells goods to customersfrom a physical store
e-tailingOnline retailing that involves retailers selling products over the Internet to customers
agentOne who acts as an intermediary by bringing buyers and sellers together
direct distributionA channel of distribution that occurs when the producer sells goods or services directly to the customer with no intermediaries
indirect distributionA channel of distribution that involves one or more intermediaries
exclusive distributionprotected territories for distribution of a product in a given geographic area
integrated distributionOwn and run their own retail operations; the manufacturer acts as wholesaler and retailer for its own products.
selective distributiona limited number of outlets in a given geographic area are used to sell the product
intensive distributioninvolves the use of all suitable outlets to sell a product. The objective is complete market coverage, and the ultimate goal is to sell to as many customers as possible.
e-marketplaceonline shopping location


E. E. Smith Senior High School

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