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The Handbook of Logistics and Distribution Management, 5th Edition by Dr. Peter Baker, Phil Croucher, Alan Rushton

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04

Channels of distribution

Introduction

This chapter considers the alternative ways in which products can reach their market. Different types of distribution channel are discussed, and an approach to channel selection is described. Finally, the key decision of whether to run an own-account distribution operation or whether to outsource to a third party is introduced.

Physical distribution channel is the term used to describe the method and means by which a product or a group of products are physically transferred, or distributed, from their point of production to the point at which they are made available to the final customer. For consumer products the end point is, generally, a retail outlet but, increasingly, it may also be the customer’s ...

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