Channel Structure And Strategy Decisions In Emerging Markets

Abstract

The channels of distribution in emerging markets are the mix of traditional channel of the localised market structure. The government still has control over the economy in which these channels operate but the channels carry the products to various customer destinations including the international markets with competitive edges over the conventional markets. This study was a survey of these markets with total reliability on extant literature for the investigations and the information extracted were analysed and the findings made including the success in the use of these channels. The channels are resilient in the operations relying on mutual trust among the channel members, the accurate management of channel information and reliability on channel relationships. Channels are funded by financial institutions that had made high volume purchases possible without resorting to absolute sales returns. The recommendation was that channel of distribution is the strength of the business development in emerging markets and should be strongly protected from the competitive strategies of the conventional channels of the developed economies.

Keywords: Channel Structure, Strategy Emerging Markets