It is necessary from the outset to reach a clear understanding with the distribution agent as to how his performance will be measured. This measurement could be on the basis of the:

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It is best to measure the performance of the distribution agent on multiple criteria including annual growth rates, floor or shelf space secured for the product, number of times inventory turns over per annum, and market share and sales volume. This will give a comprehensive view of the agent's performance and ensure that they are meeting all the necessary targets. Measuring all of the above factors will also give a more accurate assessment of the impact of the distribution agent on the company's overall sales and market share.

It Is Necessary from the Outset to Reach a Clear