How and why are distribution channels affected when the stage of development of an economy improves?
As an economy advances, the distribution system begins to take the form of distribution in the U.S. The apparent reason for this change in structure is due to the decentralization of the total marketing function. As an economy becomes more sophisticated it places increasingly complicated and sophisticated demands upon the marketing function.
This results in modification of the existing system to be able to meet the increased demand placed upon it by the emerging economy. Consumer segments become much larger and diversified and each in turn places new demands on the distribution system which causes modification in order to administer to the requirements of that segment.
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International Distribution and Retailing
- What are the factors influencing marketing via the internet?
- What are the six influencing factors in the choice of channel?
- What is the key variable that affects the marketer's choice of distribution channels?
- How is distribution-channel structure affected by increasing emphasis on the government as a customer and by the existence of state trading agencies?
- In what circumstances are trading companies likely to be used?
- In what circumstances is the use of an EMC logical?
- How does physical distribution relate to channel policy and how do they affect one another?
- Why is the EMC sometimes called an independent export department?
- In what ways and to what extent do the functions of domestic middlemen differ from those of their foreign competitors?
- How does the globalisation of markets, especially in the EU, affect retail distribution?
- What are the distinguishing features of the European distribution system?