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"Facing Distribution Problems in the Chinese Economy"
Facing Distribution Problems in the Chinese Economy
kevin gorman
The purpose of this report is to analyze the advantages and disadvantages of different distribution methods available to Beijing Oasis and decide which method should be implemented. Based on the advantages and disadvantages of each distribution method, a recommendation will be offered as well as implementation of that decision.

Statement of the Problem

The most vital issue currently facing Gervais Lavoie is the decision of method of distribution. He has been given three alternatives with which to analyze. Poor distribution decisions in the past have caused businesses to fail dramatically, so he is imminently aware of the magnitude of this decision. What method of distribution should be implemented for Beijing Oasis High Nutrition Food Company Ltd. to distribute the company's newly developed fruit nectar? This is a problem because, as stated before, the consequences of a poor distribution decision could prove fatal.


Through steps to open its markets to international exporters, and to comply with World Trade Organization (WTO) membership application requirements, global trade with China has changed significantly in recent years. "After a decade of reform, the economic situation in China has improved enormously. " Opportunities are available to foreign companies to enter the Chinese fruit juice market, with tax and land incentives offered to lure foreign business to China's special economic zones, and tariffs lowered to invite imports . "The adaptive ability is shown in learning new concepts and rules developed in a market economy, which might involve changing assumptions and the way of thinking."

The fruit juice market in China is dynamic, with many opportunities for international competitors to enter the sector. In 1995, Canada held 1.6% of the $63.9 million imported fruit juice market in mainland China, but that share slipped to 1.0% in 1996, despite the fact that the value of the market increased to $69.4 million. Imports of...

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"Facing Distribution Problems in the Chinese Economy." Sep 22, 2018
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