Channels
and Supply Chain
Management
Chapter 12
1
,Issues Concerning
Distribution Channels
What
What isis the
the Nature
Nature What
What Problems
Problems do
do
Of
Of Distribution
Distribution Companies
Companies Face
Face in
in
Channels?
Channels? Designing
Designing and
and
Managing
Managing Their
Their
Channels?
Channels?
How
How do
do Channel
Channel
Firms
Firms Interact
Interact and
and
Organize
Organize toto do
do the
the
Work
Work of
of the
the
Channel?
Channel?
, Value Delivery Network
The network made-up of the company,
suppliers, distributors and ultimately
customers who “partner” with each other to
improve the performance of the entire
system in delivering customer value.
U pstream partners: set of firms that supply
stuffs needed to create a product or service.
Down stream partners: firms that help
producers to deliver products to the
customers.