Operation Models of Distributors/Agents

An Expert's View about Business Administration in China

Last updated: 22 Feb 2011

5-2 Operation Models of Distributors/Agents


There are mainly three distribution models based on the distributor's coverage.
1. Multi-Layer Regional Agent

Under this model, the market is divided into several major regions, with a sole agent established in each region. The agents can be divided into several classes, and the regional sole agent may develop its secondary agents or distributors. The biggest advantage of this traditional distribution model is that a sizeable sales network can be formed in a short time with relatively low costs. The sales network can also be expanded quickly building up the product brand.

To read the full version, please click here


Posted: 21 February 2011, last updated 22 February 2011

See more from Business Administration in China

Expert Views    
Mustknows about business set-up in China   By Sara Cheng, Consultant
How to Speed Up Your China Business   By Sara Cheng, Consultant
Hot Tips    
How To Get Your Money Back From Clever China Cheaters...   By China Fraud Patrol
Due diligence on Chinese Companies   By Sara Cheng, Consultant
Latest News    
Recognizing A Chinese Scam   By China Trade Commission