Distributors distribute (sell on) products and serve as a local sales point perhaps with specific market knowledge or access unavailable to the manufacturer. Perhaps most often distributors will be independent companies and therefore some formal distribution agreement will normally be entered into between the parties. Distributors normally buy from the manufacturer in bulk and sell on to users in smaller quantities at a higher unit price. Different levels of proactivity can be expected in different geographical and product markets, for example in European industrial markets distributors typically stock, sell, take orders and promote the products while in the USA distributors often stock and take orders for products while commissioned representatives will undertake more of the active selling and promotion of the products. Distributors often form a part of a companies sales channels or routes to market. See also exclusive, franchise, agents, commissioned agents 06/08/2001 Use your browser back button or |
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