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Distribution Phone Cases China

In:

Submitted By hellkiller
Words 755
Pages 4
* Distribution
a. geographical coverage
b. distribution channels
c. physical distribution and logistics
d. electronic distribution

Mobile phone accessories revenue grew 18% to $1.2 Billion in 2010 and in 2012 grew to $20 billion. By 2017, estimated revenue of smartphone accessories is supposed to be close to $38 billion. As you can see the smartphone market is booming and with it the smartphone accessories market is booming. Otterbox is a very well-known company in the U.S. and some European countries. If Otterbox could grab a big market share in China, it would be crucial for the company. Being able to maximize revenues and reduce costs within the distribution sector is crucial. Also, being able to adjust to other cultures and capitalize on a distribution deal is crucial. There are many different laws, regulations, and restrictions to exporting goods globally. I will discuss what I think is the most efficient and effective way to distribute Otterbox products into Shanghai and Beijing.
Once the product is created and promoted you have to figure out which market is the best market for your product. We are going to try to enter the Shanghai and Beijing markets. There is a lot of potential for such a big and rapidly growing market. All consumer and industrial products will eventually go through the distribution process. The trick is making the distribution as profitable and efficient as possible. We believe that having agent middlemen in the beginning of the distribution process and slowly working towards foreign-country middlemen is the most effective way to maximize profits and connect with the consumers. Instead of using merchant middlemen we have decided to use agent middlemen. Agent middlemen represent the principal rather than themselves whereas the merchant middlemen take the title of the goods and have to buy and sell on their own account. By using agent

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