There are several types of intermediaries that can be involved in distributing a product from a manufacturer to customers. Wholesalers purchase large quantities from manufacturers and resell to other businesses. Retailers sell goods directly to consumers. Agents connect buyers and sellers but do not take ownership of goods. Distribution channels can be direct, with no intermediaries between producer and customer, or indirect, involving intermediaries like wholesalers or retailers. Determining the most efficient distribution channel is important for reducing costs and getting products to customers.