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A channel for distribution is defined as the agencies and strategies an organization uses to support its product marketing and increase their sales. An important determinant of the structure of a distribution channel is the marketing functions carried out by the particular organization. It should prepare a plan of the expected sales volume and profit.
The health care sector has its products and services which need to be distributed through various channels. Some of these products include medicine, equipment like machine for cancer patients. Services include attending to patients, outpatient and inpatients. The distribution channel used determines the speed of delivering the products or services and the cost of distribution.
There are various types of distribution channels characterized by use of intermediaries like retailers, agents, wholesalers. The channels are also characterized by Location of outlets in different parts of the region or country, and personal selling by the health care industries (Gorchels et al, 2004).
As Gorchels et al (2004) further note, there are various factors that determine the most appropriate channel for an organization to distribute its products.
First is the profit and sales expected. The organization should choose a channel that yields.............
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