The Management of International Distribution Channels : Focusing on the Perspective Korean Exporting Companies

Purpose - The objective of this research is to investigate how selected Korean General Trading Companies, (KGTCs), manage their international distribution channels to sustain the growth of the international marketplace. Specifically, the following questions were answered: What is the profile of the respondents in the position from the company, the experience in channel of distribution operations, the number of distribution channels existing in the international marketplace. Research design, data, methodology -The thirty-nine respondents representing 55 percent have less than 10 years of experience in channel of distribution operations while 34 respondents, equivalent to 45 percent have 10 or more years of experience. All of the respondent KGTCs are using the channel of distribution in their export operations in Asia. Respondent KGTCs' 2015 export sales in Asia were between US$ 100 to 200 million. Results - There are no significant differences in the perceptions of the two groups of respondents with regard to the perceived practices of KGTC in the management of international distribution channels. Exporting companies use common sense when managing conflicts and emphasize the importance of a clear contract which states what obligations and requirements there are of each party in order to prevent conflict. Conclusions - The higher level of details in the contract, the lesser would conflicts arise. The more intense communication, the higher level of information exchange. The higher level of details in the contract, the lesser would conflicts arise.