Total Cost Approach in Distribution


The cost of distribution involving all the moments and warehousing activities of the product may amount to 60% of its total cost.

The cost of distribution should take into account not only the cost incurred on the moving of product over different channels of distribution but also a few other activities.

These activities have become inevitable with the modern management approach as well as customer-oriented marketing approach.

Every organization tries hard to achieve on time delivery, dependability, convenience and to win over trust and confidence of customers. In other words, a guaranteed service and guaranteed lead time for delivery, consistency in service and reliability to meet ...

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