Distribution Channels: The Main Functions Essay

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Since goods and services need to move from producers to ultimate consumers, individuals involved in business have to employ distribution channels that work perfectly to deliver products. This brings various benefits to the company, which encourages businesspeople to keep the economy thriving and running. To mention a few of these benefits, like generating employment, providing finance to people involved, promoting goods, and giving market information. These are just a few of the many advantages that accrue from distribution. The main aim of these channels is to collect the commodities from various manufacturers and make them ready for consumption by the end-users. With these functions available, information and products move from manufacturer to consumer inefficiently and promptly. In a normal chain, some wholesalers sell the products to retailers and finalize with the consumers. Distribution logistics employ the three parties mentioned earlier, controlling movement, planning, and realization of goods.

Physical and online retailing involves direct transactions from wholesalers to retailers and consumers, while online transactions are conducted via the internet. For instance, when a website is used to sell products, it duplicates the feel and looks of the store since the customers do not interact directly with the commodities. These can make more customers since quality information of the products is normally provided on the website. On the other hand, online retailing has its disadvantages, like people who have no access to internet services. When it comes to the advantages of online-only exposure, there is less fatigue since customers access the site with not much movement. Having gone through channels, I would redesign a Coca-Cola distribution channel. For now, they are selling concentrates to bottlers who sell to wholesalers and finally to retailers. I suggest Coca-Cola buy bottlers and put them under one umbrella to allow easy management. Bottling outside the company may create logistics challenges that Coca-Cola can avoid using its vast resources and experience.

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IvyPanda. (2022, November 27). Distribution Channels: The Main Functions. https://ivypanda.com/essays/distribution-channels-the-main-functions/

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"Distribution Channels: The Main Functions." IvyPanda, 27 Nov. 2022, ivypanda.com/essays/distribution-channels-the-main-functions/.

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IvyPanda. (2022) 'Distribution Channels: The Main Functions'. 27 November.

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IvyPanda. 2022. "Distribution Channels: The Main Functions." November 27, 2022. https://ivypanda.com/essays/distribution-channels-the-main-functions/.

1. IvyPanda. "Distribution Channels: The Main Functions." November 27, 2022. https://ivypanda.com/essays/distribution-channels-the-main-functions/.


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IvyPanda. "Distribution Channels: The Main Functions." November 27, 2022. https://ivypanda.com/essays/distribution-channels-the-main-functions/.

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