Electronics & Computer Distribution
Functioning as the supply chain hub, this industry wholesales technology hardware and components to retailers, system integrators, and manufacturers.
Why it exists
This industry moves hardware and components from manufacturers to enterprises and retailers.
Why it’s necessary
Without distribution, even the best hardware never reaches users.
Key components
Warehousing
Channel financing
Vendor relationship management
Inventory & logistics systems
How to evaluate businesses
Key metrics are inventory turns, working capital efficiency, margin compression risk, and customer concentration. Distribution is a scale-and-speed game with razor-thin margins.
How the industry could be improved
Automated fulfillment, AI-driven demand forecasting, real-time pricing, and direct manufacturer integration to reduce channel friction.