Thorough distribution plan Essay Example | Topics and Well Written Essays - 500 words

Thorough distribution plan - Essay Example Things that will be accounted include permission to distribute the product, certificate of quality assurance provided by the concerned authority and legal requirements that have to be met like registration of the product. The availability and vicinity of the distribution centers in these countries have to be accounted for. The global entry strategy into these countries will be through franchising. Franchising will facilitate speedy distribution of the product. Franchising involves the granting of a franchise. In this case, the product will be franchised to a franchisee; the franchisee will supply the capital and labor and operate the franchised business. The approach of franchising will be; authorization of a number of retail stores to sell the product. The advantage of using franchising is that the product will be able to reach the targeted population in the shortest time possible and within their favorite shopping places. The supply chain is vertically integrated and will include a manufacturer, a distribution center and a retailer. The manufacturer will manufacture the product and franchise it to the distribution centers and retailers. A distribution center will assist in the supply of the product as needed and be able to ship the product to the required destinations that are outside United States and Canada. This means that it has both the local and international advantage in supply of the product. Vertical integration method has advantages such as low transaction costs, high investment opportunities and the ability to monopolize the market through market foreclosure. Another advantage is quick supply of goods and being able to meet the demand in the market. Retail partners will be supermarkets, chemists, drug stores, cosmetic shops, and electronic stores. These are common places for many shoppers in the United