This document discusses international distribution and marketing channels. It outlines various methods for market entry including direct exporting, using foreign subsidiaries, and indirect exporting. It also covers criteria for selecting distribution channels, the functions of marketing channels including communication and financing, types of marketing intermediaries such as wholesalers and retailers, and common channel structures for consumer and industrial goods. The overall purpose is to explain how companies can effectively distribute products internationally through different channel options.

1. International Distribution
Dr. Gopal Thapa
Tribhuvan University

2. Distribution
 Distribution includes the various activities the
company undertakes to make the product
accessible and available to target customers. –
Philip Kotler
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3. Objectives of distribution
 Flow of goods
 Availability of goods
 Accessibility of goods
 Efficiency
 Customer satisfaction
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4. Methods of Market Entry
 Direct exporting method
 Manufacturer’s agent
 Foreign subsidiaries
 Contract manufacturing
 Export licensing
 Foreign assembly
 Joint venture
 Fully owned subsidiary
 Indirect exporting method
 Export management company
 Piggyback exporting
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5. Channel Selection Criteria
 Company goal
 Size of company
 Nature of product and product line
 Level of competition
 Desire to control channel
 Administrative burden and cost
 Export risk
 Desired flexibility
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6. Marketing channel consists of:
 Merchants – wholesaler and retailers
 Agents – Sales agent, broker
 Facilitators – Transport, banks. Insurance
companies, advertising agencies, warehouse
company
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7. Channel Functions
 Distribution objectives
 Communication
 Financing
 Value addition
 Employment
 Competition
 Standard of living
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8. Marketing Intermediaries
 Wholesaler
 Retailer
 Agent
 Facilitators
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9. Channel Structure for Consumer
Goods
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10. Channel Structure for Industrial
Goods
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11. Thank You
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