Distribution Review

Paths of a product from the manufacturer of producer to the final customer.

• Drop Shippers

• Channels of Distribution

• Brokers

• Materials Management

Buyers of large quantities of a product; store merchandise and resell to other businesses.

• Drop Shippers

• Intermediaries

• Wholesalers

• Brokers

Process to oversee the flow of materials from their initial purchase to the destination.

• Materials Management

• Direct Channels

• Non-store Retailers

• Retailers

Physical inventory system where companies sometimes close once a year in order to take inventory of all the products in the store.

• Inventory Shrinkage

• Blind Check

• Visual Control

• Annual Inventory Count

Distributing products to one intermediary within a protected territory of a geographic area; high profit margin

• Selective Distribution

• Exclusive Distribution

• Intensive Distribution

• Physical Distribution

Distributing products to all suitable intermediaries for complete market coverage.

• Selective Distribution

• Physical Distribution

• Selective Distribution

• Intensive Distribution

Commerce under U.S. regulation which occurs between states.

• Interstate

• Intrastate

Balance between public and private warehousing; designed to speed delivery and reduce storage costs; main focus is to move products; not to store them

• Distribution Centers

• Bonded Warehouses

• Private Warehouses

• Public Warehouses

Commerce under state regulations and occurs within a state.

• Intrastate

• Interstate

Holding goods until they are sold

• Inventory

• Storage

• Public Warehouses

• Private Warehouses