20-11-2010, 05:56 PM
In some countries, the sale channels are quite fragmented. There are many little provision shops, mama shops, 7-eleven and minimarts around the country.
In order to bring your products to the whole countries, it may be necessary to tap on those that have a wide distribution network.
Lam Soon, being a daily neccesities' provider(cooking oil, detergent, soaps etc), has the distribution network in place. To Viz branz, it makes sense to tap on Lam Soon network to distribute its products rather than building your own network(vans, trucks, sales teams, warehouses.. etc)
For Lam Soon, it helps to reduce their cost of operating their distribution networks.
In order to bring your products to the whole countries, it may be necessary to tap on those that have a wide distribution network.
Lam Soon, being a daily neccesities' provider(cooking oil, detergent, soaps etc), has the distribution network in place. To Viz branz, it makes sense to tap on Lam Soon network to distribute its products rather than building your own network(vans, trucks, sales teams, warehouses.. etc)
For Lam Soon, it helps to reduce their cost of operating their distribution networks.