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1.1 INTRODUCTION

Today global economy was fast changing. The world market has become quick dynamic the competition has steamed up and become more and more competitive. The companies have these to hard work to face the competitive challenges. The companies have to live up to their expectation, by introducing innovative product which revaluation in the market Indian footwear market is set to experience the phenomenal growth in coming years. In past few years too, the market has seen robust growth. The Indian footwear retail market is expected to grow at a CAGR of over 20% for the period spanning from 2008 to 2011. Footwear is expected to comprise about 60% of the total leather exports by 2011 from over 38% in 2006-07. Presently, the Indian footwear market is dominated by Men’s footwear market that accounts for nearly 58% of the total Indian footwear retail market. By products, the Indian footwear market is dominated by casual footwear market that makes up for nearly two-third of the total footwear retail market. he Indian footwear market scores over other footwear markets as it gives benefits like low cost of production, abundant raw material, and has huge consumption market.

Germany is the second largest importer of footwear in the world with a share of 7.79% in the total global footwear import trade of US$ 77.36 billion.  Germany's import of footwear (leather and non-leather) has increased from US$ 5.23 bn in 2005 to US$ 6.03 bn in 2009, growing at a CAGR of 3.62%.India's export of different categories of footwear to Germany increased from US$ 170.97 mn in 2005 to US$ 224.27 mn in 2009, growing at a CAGR of 7.01%.During 2009, India accounted for a share of only 3.71% in Germany's total footwear imports. Hence, there remains considerable potential to enhance India's export of footwear to Germany in the coming years.

1.3 INTRODUCTION TO THE SUBJECT

EFFECTIVENESS OF DISTRIBUTION AND SATISFACTION OF WHOLESALERS Distribution of goods and services plays an important role in the sales system. Distribution system varies from company to company and region to region. The distribution system gives strength to the company by helping to increase the reach of the product to various parts of the region, country or even in foreign markets. An effective distribution system helps in making available goods in the right quantity at the right time when they are required and giving a reasonable earning to those who are associated with the distribution system like wholesalers,retailers,departmental stores, etc THE DISTRIBUTION CHANNEL

Frequently there may be a chain of intermediaries; each passing the product down the chain to the next organization, before it finally reaches the consumer or end-user. This process is known as the 'distribution chain' or the 'channel.' Each of the elements in these chains will have their own specific needs, which the producer must take into account, along with those of the all-important end-user.

IMPORTANCE OF DISTRIBUTION CHANNELS
Distribution channels often require the assistance of others in order for the marketer to reach its target market. But why exactly does a company need others to help with the distribution of their product? Wouldn’t a company that handles its own distribution functions be in a better position to exercise control over product sales and potentially earn higher profits? Also, doesn’t the Internet make it much easier to distribute products thus lessening the need for others to be involved in selling a company’s product. While on the surface it may seem to make sense for a company to operate its own distribution channel (i.e., handling all aspects of distribution) there are many factors preventing companies from doing so. While companies can do without the assistance of certain channel members, for many marketers some level of channel partnership is needed. For example, marketers who are successful without utilizing resellers to sell their product (e.g., Dell...
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