Explain any four factors affecting choice of channels of distribution.
- Answer – Product factors: perishable, costly, technical or specially serviced products often need shorter channels.
- Company factors: financial strength, desired control and available selling resources affect whether direct distribution is feasible.
- Competitive factors: competitors' channels provide useful evidence, although differentiation may justify a different route.
- Market factors: number, location, buying habits and order size of customers influence channel length and coverage.
- Environmental factors: economic conditions, technology and legal requirements affect channel suitability.
The chosen channel should make the product available conveniently while balancing cost, control and service.