What is a distributor and what does he do?

Business

Distributor is an individual entrepreneuror a separate company that buys a large amount of goods from the manufacturer for subsequent trade through agents or a regional market. The main task is to distribute the products around the world and declare the partner as a reliable producer of quality goods. This profession is not easy and in fact, to understand what a distributor, you need at least a little work as a seller. This activity is very interesting, connected with communication, the ability to find a common language with a variety of people. The distributor has many different functions and responsibilities, which are no less interesting than what he sells.

Distribution activities

what is a distributor
The direct distributor begins his direct functionsto fulfill from the moment when it purchases goods from the manufacturer, most often foreign. Cooperation with foreign firms brings more profit and is of significant interest to new consumers, for example, Russian consumers. Previously, many did not know what a distributor is, what great importance it has in the field of market relations, economic development and sales in general.

The scheme of the distributor is very simple:

  • purchase of goods at prices from the manufacturer;
  • sale of products through dealers and agents of other firms or the regional market as a whole;
  • the opening of an importing company in other countries.

Few examples from history

As early as the beginning of the 1990s, nobody knewPowder "Invait" reached the Russian consumers due to the fact that the producers of this instant ingredient, which allows to get juice, knew what a distributor is. It is thanks to this system that the company's executives managed to make a fortune and distribute their products around the world.

official distributor in Russia

If, after long and hard work, somethe company eventually appears an official distributor in Russia, which means that the sales will be successful, because the Russian market is immense. Such examples can boast owners of large cellular companies, the corporation "Apple", many cosmetic firms, etc.

Documenting

The Distributor enters into a contract withthe manufacturer, where the points of sales rules, covered territory, prices and much more are clearly stipulated. This is a great opportunity to create trade and economic relations with foreign firms that are particularly popular in the west. The importer company, independently selling products in other countries, is the general distributor. When the supplier does not have the right to sell their goods to third parties, and the distributor must buy the goods from this supplier only, then this is an exclusive distributor. And the territory for the sale of goods is strictly negotiated in the contract.

exclusive distributor
All rights and obligations of the parties are fixeddistribution agreement. Then the distributor receives a certificate from the general director of the manufacturer, indicating the type of intermediary firm. Now, we hope everyone understands what a distributor is, what are his duties and main purpose.

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