ABSTRACT
In this chapter we will look at the distribution channel situation faced by small-and mediumsized enterprises (SMEs), focusing in particular on the UK SME brewery trade and public houses (pubs) operated by sole traders. Attention will be paid to the close links between the supply chain, the distribution channels, the production of the product, the raw materials and the requirements of the consumers. There are independent partners that make either products or services available for the consumer or, indeed, other businesses. There may also be intermediaries – people in between the producer and the consumer – so there are different structures for distribution channels. The purpose of those channels is to add some value to the transaction processes and, indeed, the relationship processes between producer and, ultimately, the consumer. The gaps between suppliers, manufacturers and consumers are filled by the distribution channels. Using the distribution channels, the goods are made available to the consumer where and when they are needed. Those distribution channels add value to the marketing chain as they create space and time utility for businesses further down the chain. Clearly, the task of distribution is to add value in some way or other to the product or service so that there will be benefits for the producer, the consumer and intermediaries.
