BU352 Lecture 12: chapter 12
Document Summary
The importance of distribution: distribution channels, supply chain, and logistics are related: - distribution channel: the set of institutions that transfer the ownership of and move goods from the point of production to the point of consumption. A simple supply chain can be manufacturers make products and sell them to intermediaries such as retailers or wholesalers. Wholesalers: are firms that buy products from manufacturers and resell them to retailers. The more intermediaries that are involved in the supply chain, the greater the complexity and number of transactions involved for a company to reach consumers. Supply chain management focuses on the relationships among members of the supply chain and distribution channel and the need to co-ordinate efforts to provide customers with the best value. Logistics management: describes the integration of two or more activities to plan, implement, and control the efficient flow of raw materials, in-process inventory, and finished goods from the point of origin to the point of consumption.
