Global distribution channels and domestic channels differ from each other.

Domestic distribution involves marketing activities, such as advertising, promotion, production, and selling. Business operations and customer influence all take place within a particular country. Thus, it tends to serve a small area. Global distribution involves similar activities that extend over geographical boundaries, but the business operations and customer influence are conducted in more than one country, covering a larger area.

Global distribution requires a lot of research because of a lack of information about foreign markets as well as rules and regulations governing different countries. Government influence is essential in the process. Domestic distribution, on the other hand, has small surveys done about the market, requiring minimal government influence because it is done within a particular country.

Global distribution faces challenges such as social-cultural differences and setting international prices for products causing an increased rate of risk, making the capital investment required to be relatively high; for domestic distribution, the challenges faced are comparatively fewer, lowering the rate of threats, so the investment required to acquire resources is relatively less.

In global distribution, the nature of customers differs, from their different tastes to preferences to habits to the latest technology in different countries, as opposed to domestic distribution in which customers have a similar nature, and the exposure to new technology is very minimal.