ABSTRACT

This chapter discusses the distribution channels and explains the general reasons for a trade channel developing. It analyses the retailer as part of the trade channel and explores the various types of retailers that have developed in response to particular trade channel problems. It focuses on portion of the trade channel serviced by the wholesale establishment. Channels of distribution are no less dynamic than any other factor in the marketing environment. Retail products are traditionally classified as convenience, shopping and specialty goods. The store location problem can be handled in three phases. First, locating a suitable community, identifying an area within the community that would be suitable and finally, choosing a store site. Capital must be available to finance normal credit and bad debts. Merchandise management is concerned with the problems of maintaining the proper goods in stock and then determining how much of these goods to purchase and when to purchase the goods.