Well-planned
and effectively handled communications are increasingly
seen as essential to the success and even the existence
of organisations in today's changing world.
As global manufacturers seek to expand their business, one of their biggest challenges is to decide how to market their products in different parts of the world. A key part of this is their ability to understand industrial sectors in different parts of the world and to find the best ways to communicate with customers. The question for the manufacturer is where best these processes can be performed and by whom. They have the choice of using their own employed staff or to utilise third parties e.g. Local Agents or Distributors.
Employing staff in differing countries can be extremely difficult for manufacturing companies whose primary focus is the design and supply of products. Options for the manufacturers include employing their own staff or utilising the services of a third party such as a Sales Representative or Agent. Employing and managing staff in multiple locations can be a costly and difficult process. Another option is the appointment of a third party such as a sales representative or agent to represent the interest of the manufacturer. These independent sales organisations have, as their primary focus the selling of products and services to specific markets. They can often provide specific sales support to manufacturers and do this is a manner that entails lower costs and quicker results.
Of course there are always
concerns that adding organisations to a channel
of distribution will result in increased costs.
The experiences of Manufacturers and their third
party Sales Representatives or Agents are however,
different from this.
Typically once the relationship of the Manufacturer and Sales representative is stabilised the overall cost is reduced. The reason for this is that manufacturers and distributors are themselves always trying to reduce their own costs and to improve their own processes.