1.3.4 Distribution

Question 1

What is Distribution?

Answer 1

Distribution is the process of getting the firm’s product to the market

Question 2

What is a Short distribution channel?

Answer 2

Short distribution channels are where the producer sells either directly to the customer or through a retailer

Question 3

What is a Long distribution channels?

Answer 3

Long distribution channels are where there are more than one intermediary (middle person) between the producer and the customer

Question 4

What are Wholesalers?

Answer 4

Wholesalers buy large quantities of supplies from producers and sell them on in smaller quantities. For example, a corner shop might go to a wholesaler to buy their products

Question 5

What is e-commerce?

Answer 5

Transactions of buying and selling Online OR where buyers and sellers come together to trade in a virtual location

Question 6

What factors decide what type of distribution is used?

Answer 6

Type of product
Market
Quantity and frequency
Geographical Location
Cost
Degree of controll