The purpose of distribution channels is to increase sales for product in demand. This will enable the consumer to purchase items directly from the manufacturer often at a better deal. The longer the channel the less profit the manufacturer makes, thus reflecting profits.
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How does one manage relations in different distribution channels?"
Name a company that uses conventional distribution channels to sell their products
In marketing the channels of distribution have many intermediary is called indirect distribution where the firm supplies to the consumer customer not directly but via multiple channels system through a third party eliminating all responsibilities of the product and services...
This new perspective had a phenomenal impact on channels of distribution. Suppliers, manufacturers, wholesalers, and retailers were all forced to adopt a business orientation initiated by the needs and expectations of each channel member's customer.
So, a channel of distribution involves an arrangement of exchange relationships that create value for buyers and sellers through the acquisition (procurement), consumption (usage), or elimination (disposal) of goods and services.