Research On Sales Channel Construction Of LTFS Company In China

The distribution channel is an important strategic element for companies to win competitive edge. With the overall rapid development of the electronics industry in the recent years, China’s electronic component industry is becoming more and more competitive. It has become an urgent problem for foreign-owned electronic component companies to consider how to establish distribution channels suitable to their respective development on the Chinese market, win competitive edge of the distribution channel, as well as effectively manage and allocate the distributor channel.Established in1927, LTFS is a global advanced electronic component manufacturer. During the middle of1990s, LTFS started direct investment in mainland China, and become one of the first multinational companies to settle down in Suzhou Singapore Industrial Park. After years of development, LTFS has gained good performance on the mainland market, meanwhile some problems also started to crop up, among which the distribution channel stands out as a prominent problem. Aiming at the existing problems with LTFS’distribution channel, this paper seeks to find out the key points in realizing channel optimization, design a channel model and optimizing strategy compatible with LTFS, and establish an effective, controllable, and adaptive distribution channel system aimed at different kinds of target clients. This paper hopes to provide some beneficial thinking and reference for China’s numerous electronic component manufacturers in the field of designing, constructing and improving their respective distribution channel.