| A | B |
|---|
| channel of distribution | the path a product takes from producer or mfgr. to final user |
| intermediaries(or middlemen) | businesses involved in sales transactions that move products provide value to producers since they have expertise in certain areas |
| wholesalers | buys large quantities of goods from manufacturers, store the goods, then resell them to other businesses |
| rack jobbers | wholesalers that manage inventory & merchandising for retailers by counting stock, filling it in when needed & maintaining store displays |
| drop shippers | own the goods they sell but do not physically handle the actual products |
| retailers | sell goods to the final consumer for personal use |
| brick & mortar retailers | traditional retailers who sell goods to the customer from their own physical stores |
| e-tailing | online retailing selling products over the Internet to the customer |
| agents | act as intermediaries by bringing buyers and sellers together |
| direct distribution | occurs when the goods or services are sold from the producer directly to the customer |
| indirect distribution | involves one or more intermediaries |
| exclusive distribution | involves protected territories for distribution of a product in a given geographic area |
| integrated distribution | occurs when a manufacturer owns and run their own retail operations |
| selective distribution | means that a limited number of outlets in a given geographic area are used to see the product |
| e-marketplace | online shopping location |
| intensive distribution | involves the use of all sutiable outlets to sell a product |
| wholesalers & retailers | two major types of merchant intermediaries |
| keiretsu system of distribution | intermediaries have strong bonds with producers through vertical integration & other social & economic ties |
| intensive, selective, exclusive | 3 levels of distribution intensity that a business can consider |
