Discusses the distribution network within the country from how products enter to final destination, including reliability and condition of distribution mechanisms, major distribution centers, ports, etc.
Last Published: 7/2/2019

Local companies are often distributors for foreign brands.  Chinese, Turkish, Iranian, and Russian products tend to dominate this price-sensitive market.  Potential distributors and franchise operators frequently cite the high cost of U.S. goods and expensive supply chains as reasons to prefer regional, Chinese, or European products.  Nonetheless, several Azerbaijani firms have successfully sold and represented U.S. brands in Azerbaijan.  Due diligence should be done on any potential Azerbaijani distributor before concluding an agreement or shipment.

U.S. firms seeking distribution partners in Azerbaijan should focus on private Azerbaijani firms with proven track records and good financial standing.  State-owned enterprises are unlikely candidates for distribution and sales activities on behalf of U.S. firms.  They generally lack the resources to cover the costs of maintaining U.S. product inventories for the local market.  Although many private Azerbaijani firms have poor cash flow and other structural disincentives, training and flexible stock/inventory options can help U.S. goods and services penetrate the Azerbaijani market.  Businesses should work with local firms for internal distribution within Azerbaijan.
 

Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting http://export.gov/usoffices.