In the marketing mix, the process of moving products from the producer to the intended user is called place. In other words, it is how your product is bought and where it is bought. This movement could be through a combination of intermediaries such as distributors, wholesalers and retailers. In addition, a newer method is the internet which itself is a marketplace now.

A distribution channel can be defined as the activities and processes required to move a product from the producer to the consumer.

The agent is an independent entity who acts as an extension of the producer by representing them to the user.

Wholesalers are also independent entities. But they actually purchase goods from a producer in bulk and store them in warehouses.

Similar to wholesalers, distributors differ in one regard. A wholesaler may carry a variety of competition brands and product types

Wholesalers and distributors will sell the products that they have acquired to the retailer at a profit. Retailers will then stock the goods and sell them to the ultimate end user at a profit.