Distribution Opportunities in India

In every country or market - whether developed, emerging or underdeveloped - consumer products eventually go through some form of distribution process. The distribution chain involves movement of goods from factory gate or shipping yard to consumers' doorstep. Success in international market largely depends on entering the distribution chain with suitable overseas partner who can successfully introduce your products. There are several models and resources - one can select depending on own organizational resource. 1. Wholesale Model Wholesaling involves selling in bulk to an overseas wholesale partner who has access to downstream channel for re-selling the goods. The wholesaler buys in bulk from Indian seller and takes complete responsibility of selling the goods in his/her own country. Post sell, the Indian seller is free of anxiety, but loses track of how his/her products doing, such as - at what price the consumer is buying, margin of intermediates, consumer feedback etc.  ...

Indian businesses have always aspired to sell in overseas markets. For a successful entrepreneur, there's nothing more exciting and satisfying than conquering foreign market. Higher margin, easier bank credit, tax free revenue and various export incentives are some of the attractions of overseas markets. Besides, thriving overseas presence is an insurance against any instability in domestic market. However, not much information is available on the topic, specially for small and medium Indian enterprises. In a series of articles, we shall discuss preparations and planning required before venturing out to overseas markets, various routes for overseas entry with comparative advantages/disadvantages and sources of information. In preparation and planning stage - a business must objectively assess whether its ready for overseas market. To help a business evaluate its position - here's few pointers. 1. Domestic Distribution First - Overseas Comes Later A business must establis...