Distributer/dealership

This is probably best answered by Josh. I have always been interested in the differences between a distributer for cars and a dealership. It seems that somewhere in the past, cars would go to a distributer first and then to a dealership. Can anyone shed some light on this period in automotive history when this would have been done? It seems that if you had even a gas station at one time you could be a dealer and get a car from a distributer. Where would you think the Auburn Cord distributers were located? Josh or anyone have any comments on this?
Tom Dudley