US‐Japan distribution channel cost structures: is there a significant difference?

The Japanese distribution system is often accused of being inefficient and responsible for high consumer prices. Discusses some critical dimensions that make distribution appear to be less efficient in Japan than the US. An empirical study compares distribution costs at all levels of the channel in the two countries, including the costs of distributing industrial products, which are ultimately borne by the consumer. Provides evidence that cost structures are similar for the two countries. Discusses implications for distribution planners.