Categories of Distribution Channels

Distribution Channels are the chain of businesses or intermediaries throughout which a good or service passes until it reaches the end user. Distribution channels can consist of wholesalers, retailers, distributors and constant the internet. Distribution channels can be as short as a direct operation from the vendor to customer or contain several interconnected intermediaries along the way such as wholesalers, distributors, agents and retailers. Each liaison receives the item at one pricing point and movies it to the next higher pricing point until it reaches the last buyer.