Yakeda Distribution System Management Regulations

Chapter 1 General Provisions

Article 1 (System Objectives)

To promote Yakeda's strategic transformation from an ODM manufacturing enterprise to a B2B brand, a dual-track distribution system covering domestic and overseas markets is established to achieve clear channel structure, standardized customer hierarchical management, and consistent brand communication.

Chapter 2 Distribution Policy System

Section 1 Domestic Distribution Policy

Article 2 (Channel Types)

Domestic distribution channels are divided into the following three categories:

(I) Retail Channel

(II) Wholesale Channel

(III) E-commerce Platform Channel

Article 3 (Authorization Method)

Domestic distributors must obtain authorization through the following methods:

(I) Signing a brand authorization letter;

(II) Joining the official WeChat distribution management system.

Article 4 (Price Management)

(I) Distributors must comply with the suggested retail price system;

(II) Low-price sales and behaviors that disrupt market order are strictly prohibited;

(III) Headquarters has the right to intervene and punish violations of pricing regulations. Article 5 (Cooperation Management)

(i) Customer information shall be archived and managed in a unified tabular format;

(ii) Daily communication shall primarily utilize WeChat as the communication tool.

Section 2 Overseas Distribution Policy

Article 6 (Channel Types)

Overseas distribution channels include:

(i) Brick-and-mortar retailers

(ii) E-commerce channel providers

(iii) Government and project partners

Article 7 (Authorization Method)

(i) Signing an English version of the authorization agreement;

(ii) Assigning a unique authorization number.

Article 8 (Pricing System)

(i) Unified pricing in US dollars;

(ii) A tiered discount mechanism based on purchase volume.

Article 9 (Cooperation Management)

(i) Email as the primary communication method;

(ii) Using Google Forms for information collection and management;

(iii) Using PDF electronic signatures to confirm the agreement.

Chapter 3 Distributor Type Classification

Article 10 (Scope of Application)

This chapter applies to all domestic and overseas distribution partners.

Category 1 Ordinary Distributors

Article 11 (Definition) Ordinary distributors are basic partners without regional exclusivity rights.

Article 12 (Rights and Obligations)

(i) No exclusive regional sales rights;

(ii) Applicable to customers making small to medium-volume purchases;

(iii) Receives standard brand authorization and basic material support.

Category 2: Exclusive Regional Distributors

Article 13 (Definition) An exclusive regional distributor is a partner who enjoys exclusive sales rights within a specific region.

Article 14 (Rights and Obligations)

(i) Must sign an exclusive regional agreement;

(ii) Must achieve the agreed annual sales target;

(iii) Enjoys an independent authorization number and exclusive pricing system;

(iv) Accepts strict brand control (including price, region, and brand image).

Category 3: E-commerce Distributors

Article 15 (Definition) E-commerce distributors are partners who sell on designated online platforms.

Article 16 (Rights and Obligations)

(i) Must bind to a designated e-commerce platform for sales;

(ii) Must submit store qualification information for filing;

(iii) Enjoys unified visual design and product detail page support;

(iv) Strictly implements the platform's price management system;

(v) Can set sales targets as needed.

Category Four: Bidding Project Partners

Article 17 (Definition) Bidding project partners are specialized partners participating in military, police, or government projects.

Article 18 (Rights and Obligations)

(i) Temporary authorization on a project-by-project basis;

(ii) Access to technical data and bidding support documents;

(iii) Project-based execution, no annual sales target;

(iv) Authorization and data are for project use only and are strictly prohibited from being disclosed.

Chapter Four: Principles for Comparing Distribution Models

Article 19 (Ordinary Distribution Model)

(i) Applicable to entry-level customers and small and medium-sized traders;

(ii) Low cooperation threshold and flexible procurement;

(iii) No mandatory sales targets;

(iv) Basic price control;

(v) Primarily used for market testing and channel supplementation.

Article 20 (Regional Exclusivity Model)

(i) Applicable to key customers with regional resources;

(ii) Regional exclusivity and exclusive pricing system;

(iii) Must achieve annual procurement targets;

(iv) Strong brand control strategy;

(v) Used to establish a core regional agency system. Article 21 (E-commerce Distribution Model)

(i) Applicable to e-commerce platform operators;

(ii) Implements platform binding and unified visual standards;

(iii) Implements a strict price supervision mechanism;

(iv) Allows setting platform sales targets;

(v) Used for online traffic expansion and sales growth.

Article 22 (Bidding and Tendering Cooperation Model)

(i) Applicable to military, police, and government project clients;

(ii) Authorized and executed according to projects;

(iii) No long-term sales targets are set;

(iv) Strictly restricts the scope of information use;

(v) Used for entering government procurement and professional market sectors.

Chapter 5 Supplementary Provisions

Article 23 (Right of Interpretation) The final right of interpretation of this regulation belongs to the Yakeda brand owner.

Article 24 (Effective Date) This regulation shall be implemented from the date of its promulgation.