Buying behavior may influence a channel decision. ADVERTISEMENTS: Such factors may be classified as factors relating to: 1. Highlight factors that may influence the choice of a distribution channel. A semi- structured questionnaire was used to collect the relevant data, while frequency Choice of appropriate channel of distribution is a very important marketing decision, which affects the performance of an organisation. Answers. Explain any five factors which affect the choice of channels of distribution. Company Characteristics 4. Product features, size, shape, color, durability, perishability, Value of product etc are the factors that constitute the product characteristics. Environmental factors such as economic constraints and legal policies play an important role in the choice of channel of distribution. Factors that influence a choice of distribution channels. Industrial/Consumer Product. Environment. They are: Characteristics of the product: If the . They help you reach the customer in a way to maximise your revenue and brand awareness. products are perishable in nature like eggs, milk etc, they are supplied directly or with the help of short channels. Distribution channels are a key element in all the marketing strategies that revolve around the product. 2. Quite obviously, permitted (legal) products can be distributed by any convenient channel of distribution. Environmental Factors. Markets Factors/Consumer Factors 3. Explain five ways in which commercial banks help in facilitating business activities in a country. Product Characteristics: The product characteristic plays an important role in influencing the channel selection. 1. When a manufacturer selects some channel of distribution he/she should take care of such factors which are related to the quality and nature of the product. Following factors relating to the market are particularly significant. Market considerations: The nature and type of customers is an important consideration in the choice of a channel of distribution. Product’s availability, ease of access, and the way it reaches the customer influence its demand at many levels. Nature of the product. Let me give certain points that you have to considered before selection of the channel 1. The selection of channel is not an easy job. Important factors affecting the choice of channels of distribution by the manufacturer are: Considerations Related to Product. 4. Factors Related to Company: Company’s internal situations have direct impact on choice of marketing channel. 5. But, illegal products are distributed by direct channels for secrecy purpose. Producer factors: This study sought to investigate the nature of distribution channels for small- scale manufacturing firms in Thika town and the factors, which influence the choice of these channels. Market Factors. Heavy and bulky products like cement, steel and electrical equipment’s are also distributed directly or through short channels. This research was a descriptive study involving 60 firms. Nature of Product: The is the first and most important consideration. Highlight factors that may influence the choice of a distribution channel. If the product can be marketed to more than one segment, multiple distribution channels may be required. Middlemen Consideration 5. The factors affecting the choice of distribution channels, They may be described as under: 1. 2389 words (10 pages) Essay. For example, requirement of complex legal formalities at each step of distribution induces the companies to opt for shorter channels. The factors influence the choice of distribution channel. Product Characteristics 2. Factor # 1. ... 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