6.2 The Nature of Marketing Channels

	Most of the production companies rely on the distribution channels to sell their products to the final customers.
	Few producers sell their products directly to the final users of the products.
	In this regard there is need for an organised distribution channels to work in collaborations with producers for smooth delivery of products to the users.
	A marketing channel is a set of interdependent organisation involved in the process of making a product or service available for use or consumption by the consumer or business user (Kotler and Armstrong, 2004).
	The decision of a company`s channel of distribution affects other units in the company particularly marketing unit or department.
	Thus, pricing strategy applies by a company depends on their partners such as high quality stores, national discount chains or sell directly to the users.
	The interdependence between the company and marketing channels is vital in rewarding the parties involved.
	Commitments, motivations and skills are needed to maintain a rapport and provide the products that will fit the distribution channels.
	This will ensure the company gain competitive advantage over the rest of the companies.