Some manufacturers, particularly of industrial
products, need only be concerned with the problem of distribution
channels between nations (market-entry channels) because
their products are sold directly to the end-user, i.e.
another company or a government organisation. However,
other manufacturers face the additional problem of distribution
within the foreign market. Where this is the case, the
manufacturer should be concerned with the entire distribution
channel (i.e. the whole channel), from producer to final buyer, whether an industrial
end-user or consumer.
Unfortunately, exporters who trade
with a large number of markets frequently think that their
task has been accomplished once they have delivered their
goods to the foreign importer. They consequently ignore
the subsequent distribution channels that link the importer
with the final purchaser, with the result that less than
optimal profits are achieved.