The Distribution Industry Revolution

We see major trends impacting the retail industry.
Now that the huge supermarket chains have succeeded in overwhelming the independent shops and corner stores, they are themselves being eroded by a few giants like Wal-Mart. Where is this leading?

The fact is that most of the cost of many of the consumers products you buy is not in their manufacture, but in their distribution. In some cases, such as personal care, the mark up (sell price/cost of manufacture) can be huge. The money goes to buyers and purchasers at every level of the process, wholesalers, import export, shippers, advertizing, and taxes on all of these. The traditional retail industry no longer gives good value.

In the new paradigm, network marketing, products flow directly to end users from manufacturers, saving many of these overheads.

As an example, we as a family buy the majority of consumer products through non-traditional channels.

Link back to Home Business