Choosing a Foreign Distributor

2007-11-1

Size of Sales Force

1. How many field sales personnel does the representative or distributor have?
2. What are its short and long range expansion plans, if any?
3. Would it need to expand to accommodate your account properly? If so, would it be willing to do so?

Sales Record

1. Has its sales growth been consistent? If not, why not? Try to determine sales volume for the past five years.
2. What is its sales volume per outside salesperson?
3. What are its sales objectives for next year? How were they determined?

Territorial Analysis

1. What territory does it now cover?
3. Is it consistent with the coverage you desire? If not, is it able and willing to expand?
3. Does it have any branch offices in the territory to be covered?
4. If so, are they located where your sales prospects are greatest?
5. Does it have any plans to open additional offices?

Product Mix

1. How many product lines does it represent?
2. Are these product lines compatible with yours?
3. Would there be any conflict of interest?
4. Does it represent any other firms from your country? If so, which ones?
5. If necessary, would it be willing to alter its present product mix to accommodate yours?
6. What would be the minimum sales volume needed to justify its handling your lines? Do its sales projections reflect this minimum figure? From what you know of the territory and the prospective representative or distributor, is its projection realistic?

Facilities and Equipment

1. Does it have adequate warehouse facilities?
2. What is its method of stock control?
3. Does it use computers? Are they compatible with yours?
4. What communications facilities does it have (fax, modem, telex, etc.)?
5. If your product requires servicing, is it equipped and qualified to do so?
6. If necessary and customary, is it willing to inventory repair parts and replacement items?

Customer Profile

1. What kinds of customers is it currently contacting?
2. Are its interests compatible with your product line?
3. Who are its key accounts?
4. What percentage of its total gross receipts do these key accounts represent?
5. How many principals is it currently representing?
6. Would you be its primary supplier?
7. If not, what percentage of its total business would you represent?

Promotional Thrust

1. Can it help you compile market research information to be used in making forecasts?
2. What media does it use, if any, to promote sales?
3. How much of its budget is allocated to advertising? How is it distributed among various principals?

Source: www.jctrans.net
 Related>>
 


Chinese      -      About Us      -      FAQ     -     Contact Us     -      Site Map    -     Newsletter     -     Links     -     Privacy Policy     Terms of Use
Copyright Notice © 2000-2010 JCtrans Technology Co., Ltd. All rights reserved.