ABSTRACT
In any marketing mix, the place component (distribution) is concerned with making sure that a product reaches the target market at a convenient time and place. In relation to physical goods, distribution decisions are concerned with both channel management and logistics. Channel management refers to all those activities involved in managing relationships between the producer and the various organisations that distribute the product (e.g. wholesalers and retailers). Logistics is concerned with the physical movement of products from the place where they were made to the place where they will be purchased. Within the consumer goods domain, retailing represents the dominant channel through which goods are purchased. This channel may operate on a direct basis by which products are shipped direct from manufacturer to consumer. Alternatively (and more commonly), goods can be moved from site of manufacture to purchase on an indirect basis. Indirect distribution channels may involve some combination of agents, brokers, wholesalers and retailers interposed between producer and consumer. The logistical dimension of tangible goods distribution is often referred to as supply chain management. Success in the fi eld of tangible goods distribution requires expertise in both the strategy and management of sales channels and supply chain management.
