The Study Of Channel Cost Of HuaFang Co.,LTD. In SongYuan City

The important of marketing channel is more obvious in the economicenvironment. The competition of business in the market makes the factors ofthe market more active than ever, as part of the market the marketing channelact as an important factor also. As one aspect of the channel management, theacamedia and the enterpriser all think the cost of marketing channel moreimportant than ever.The concept of the channel cost and concrete range involved have severalkinds of different statements, sum up and stand up and can be divided into thebroadly-defined cost of channel and narrowly-defined cost concept of channel.The broadly-defined cost of channel refers to: Total selling cost and differenceof the manufacturing cost . Under this concept, channel cost factors differentto some extent among different channel, can't reflect a certain channel cost ,and various kinds of factors of channel cost differ significantly with thedifferent channel , can't reflect the particularity of a certain channel . Thechannel cost of the narrow sense refers to: the direct cost occurred in the trade.This concept is not extensive enough, some factors fail to calculate in thechannel cost. In the market practices of enterprises, the channel cost refers tovarious kinds of expenses related to concrete channel , including: Goodsfreight , sales representative expenses , stock expenses , gross profit , sellingoperation cost of Company of distributor. The factors related to this definitiondepend on strongly on the concrete channel , can tell the channel cost basically,can reflect the real aspect of channel cost.The importance of channel cost can be embodied from one enterprise orone value chain fully. The little change of channel cost of the company willhave great impact on the profit of the company. From the statistics aspect, weknow there is great potential that can be explored , according to the ratio of thechannel cost. From the channel cost aspect ,we know that the value of thecommodity can be transferred and serve the society is determined by the totalcost of the whole value chain ,the channel cost is a important part of thewhole value chain. If the channel cost is great relatively , the channel will takea "short board effect"compared with other channel, the ability of the operationof the value chain will be decreased, the value chain will has no advantage .thus it can be seen , the channel is very important to the company and willhave great impact on it in the future .The channel cost in our country is not very good. From the analysis ofthe comparison of the civil cost and the cost of other country .the control levelof channel cost in our country is very low from that of the developed country,and will have some affect on the development of the economy. Thegovernment should pay more attention to the study of the channel cost , if thecountry want to develop its economy. From the management of the company,we know the controller have little understanding on the channel cost, manycompany enhance the management of channel from technical aspect only, cannot think from use of resource, can not aware the affect of external factor, thethought of the manager should be changed. From the practice of channel cost,we know that there is a lot of wok can be doneThe control the channel cost should develop from strategy and technique,only with method the channel cost can be optimized. The study of channel costfrom strategy aspect means the company should think the direct and indirectfactors from the whole company, let the resource has a good ratio in themanagement. The control of the channel from strategy aspect will do good tothe control of channel cost and to the development of the company, can be putinto practice. In the process of using the resource , it is very important tounderstand the relation of the present and the future .According to thedevelopment of the company, we should think about the comprehensivedevelopment as we think about the high return of the capital. The essential of...