According to Investopedia & Tourism Teacher, (2023 & 2024), The Chain of Distribution, is the mechanism that moves products or services from the manufacturer to the end user. Depending on the product type, these chain stages can vary, but generally speaking, they consist of the the following:
Producer
The person who starts the production process, such as the product’s manufacturer or originator. Before the products are into the distribution chain, the manufacturer creates and supplies them.
Wholesaler
Wholesalers frequently buy goods in bulk from manufacturers and resell them to retailers in smaller amounts. By serving as middlemen, they provide retailers with bulk rates and lessen the effort for producers.
Retailer
Retailers purchase goods from distributors (or occasionally directly from manufacturers) and resell them to final customers. They may be supermarkets, internet merchants, or smaller shops that provide goods in amounts that are handy for the consumer.
Consumer
The final phase of the supply chain, during which the final consumer buys the product for their own usage. All of the chain’s earlier phases ultimately aim to reach the consumer.
Additional procedures, such as agents or brokers, may occasionally be necessary to help connect wholesalers and retailers. Additionally, by avoiding some conventional steps in the process, e-commerce platforms have become essential in modern distribution systems, offering direct contact between suppliers and consumers.
In my opinion, In the tourism industry’s chain of distribution, the wholesaler or tour operator section is not always necessary. Sometimes, travelers can book directly with service providers (like airlines, hotels, or attractions) instead of going through an intermediary.
In these cases, the distribution chain is more direct, and the steps can skip the wholesaler, allowing consumers to book directly with travel agents or online, which is increasingly common with online travel agencies and direct bookings through provider websites.
NEEDS CITE
References
Investopedia (2023) Distribution Channel. Available at: https://www.investopedia.com/terms/d/distribution-channel.asp (Accessed: 13 November 2024).
Tourism Teacher (2024) The Chain of Distribution. Available at: https://tourismteacher.com/the-chain-of-distribution/ (Accessed: 13 November 2024).