Channel Design

INTRODUCTION In putting up a business, there are a lot of things to be planned and developed; from the generation of product ideas to be offered for sale or services to be rendered to the public, the price to set for those products/services, the ways of promoting your business and the convenient place where to access the products that will be offered to the public. All businesses in this world are a foundation of the four most important things which are the product, price, promotion and place or what they call the marketing mix. These four P’s are an integral part of the business because it serves as a tool in building an effective marketing strategy and implementing it with tactics. First, a businessman should know what product he will offer. A product is seen as an item that satisfies what a consumer needs or wants. It is a tangible good or an intangible service. Secondly, after determining what product or service to proffer, he should set up a competitive price for it. Of course this one is important it determines the company's profit and hence, survival. The promotion of this product will be the next thing to be considered. Promotion will help a lot in mounting up your sales and this is needed for your product to be known in the market. Lastly, the place or the channels of distribution. A product should be offered in a convenient place where the buyers will have easy access to those products or services. Today, a lot of ways of distributing the products to the buyers for consumption are being developed. Businesses are establishing channel design or decisions associated with forming new or altering existing channels. But some companies do not have the right structure for the distribution of the products that result to ineffective access of consumers to the products that they need and want. So now there are a number of studies about the structure of these channels or what they call the channel design to have an explanation to some issues regarding the