- The specific design of the distribution channel
- Exactly how the channel is in reality managed on a continuing basis
Taking a look at the very first part of the equation when looking at distribution channel management it is essential to note that much care needs to be taken as the decision made at this point will have enduring implications for the organisation. Legal agreements will have to be signed at this stage and relationships created, frequently this will involve global carriers & language barriers so one can envision how challenging it could be to go back and to alter the make up of the channel. With that said, in a lot of cases throughout business history companies have made the hard decisions and modified their go to market distribution channels as the preferences of the market requires.
After the marketing channels of distribution are actually designed then it is the on-going management of the channel that comes into play. Here company owners will be dealing with commission levels, stocking agreements and the important marketing and promotion activities. As a enterprise owner or managing director you need to make sure that these necessary factors are taken into consideration.
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