Distribution Network
The system of intermediaries, including wholesalers, distributors, and retailers, through which a product is distributed to end consumers.
Implications
The interconnected system of intermediaries, logistics providers, and retail outlets that facilitate the movement of products from producers to consumers, often designed to optimize efficiency, cost, and market coverage.
Example
Example: A global electronics company builds a robust distribution network that includes regional warehouses, logistics partners, and retail chains, ensuring its products are available to consumers worldwide.
Related Terms
Different from a supply chain, which includes the entire process from raw materials to finished goods, a distribution network focuses specifically on the movement and sale of finished products.
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