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WEEK 8
Distribution
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Meaning of Distribution
Distribution is the process by which goods produced are made to reach the final consumer. It includes the totality of activities that occur between the time when goods are produced and when they reach the final consumer. These activities could be packaging, warehousing, transportation, etc.
Channels or Chains of Distribution
These are routes or sequence through which goods move from the manufacturer to the consumer. This is illustrated below:
Functions of The Channels of Distribution
The Producer
The producer is the person who manufactures goods or provides services to satisfy consumers’ need
Functions of the Producer
The Wholesaler
This is an intermediary who buys in large quantities from the manufacturer and sells in small quantities to the retailer.
Functions of the Wholesaler
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