Food Distribution Companies
There are several methods of distribution are used by food distribution companies.
Classification of food distribution channels:
– Multi-distribution channels (via several distribution companies), single distribution channel (usually via one distributor);
– Interaction with the buyer: direct (direct sale to a buyer), indirect (resale to other intermediaries).
– Distribution by type: bulk distribution, selective distribution, exclusive distribution;
– Geography: local distribution (regional), national (within the country), transnational (distribution by geographic region);
Sometimes there is a classification of distribution “on the right of ownership of the goods (transfer of ownership or without transfer of the ownership).
The transfer of ownership of the goods from manufacturer to distributor is performed by the last wholesale buyer.
In this case, besides of the distribution of the goods the distribution company accepts the responsibilities of ownership, administration, certification and management of the product on the local market.
