ABSTRACT
Distribution of goods was once considered a low-level operation in the supply chain, almost a nuisance, ranked with warehousing and freight transport in its tedium, and was relegated to a secondary or tertiary function after production or operations. It was not focused on as an important part of business strategy, and was often appointed less able staff than other functions such as manufacturing or operations (1). In the last century, however, it has been discovered that distribution is a critical determinant of the success of a business and must be paired equally with manufacturing when allocating focus and resources in order for a company to achieve optimal profitability. In the physical transfer of goods from producer to consumer, the distributor plays a number of important roles-from reducing marketing costs of the producer to providing a specialized high level of customer service to the consumer or user. The distributor may also handle a series of related functions such as transport, handling, storage of inventory, and order processing.
