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Why do we need Sales area

Former Member
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Hi,

Can any one tell me what are all the possible reasons for this question...

"Why do we need Sales area?"

Regards,

Nalini Ramesh

Accepted Solutions (0)

Answers (5)

Answers (5)

Former Member
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Thanks, I got the necessary Informations

Lakshmipathi
Active Contributor
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Sales Area is the starting point in SD and without this, you cannot even create a sale order.

thanks

G. Lakshmipathi

Former Member
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No you don't

It is possible to work with a generic distribution channel and division.

You only need one Sales Organization / FI Company Code.

This is a valid configuration for all type of business.

The main benefit is to minimize the volume of master data to maintain.

Regards,

Franck

Former Member
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Hi,

Sales organization: An organizational unit that sells and distributes products, negotiates terms of sale, and is responsible for these transactions.

Distribution channel: Channel through which salable materials or services reach customers. Typical distribution channels include wholesale, retail and direct sales. You can assign a distribution channel to one or more sales organizations.

Division: Product groups can be defined for a wide-ranging spectrum of products. For every division you can make customer-specific agreements on, for example, partial deliveries, pricing and terms of payment. Within a division you can carry out statistical analyses or set up separate marketing.

for your reference

http://www.sap-img.com/sap-sd/sd-questions-on-corporate-structure.htm

thanks.

Former Member
0 Kudos

Hi

Sales area is a combination of sales org,distribution channel and division.

1 Creating a sales area allows you to exclude certain combinations of the different organizational areas.

2 Each sales document is assigned to a sales area

3 Master data and analyses can be maintained for a sales area.

4 Can be used to refer certain sales transactions

regards