CHAPTER 8 Distribution Channels and Logistics Management Objective: examining the nature and role of the channels in attracting and satisfying customers The Nature of Distribution Channels • Distribution channels are intermediaries used by the producers to bring their products to the market. • Why? Because the use of intermediaries bring greater efficiency in making goods available to target markets. In other words‚ they match the supply with the demand. • Most important benefit of using intermediaries
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The price variable relates to decisions and actions associated with establishing pricing objectives and policies and determining product prices. Setting price objectives is critical because they form a foundation on which the decisions of subsequent stages are based. Objectives for Red bull include organisational and marketing objectives such as profit‚ return on investment‚ growth and status quo. Assessing the target market’s evaluation of price tells the marketer how much emphasis
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Channel conflict when adding the Internet as a complementary marketing channel to an existing marketing channel system. A case study of a Greek mobile telecom retailer. by GEORGIA EFROSSINIDOU carried out in conjunction with WIND Hellas Telecommunications‚ Leicester October 2009 Project submitted to Leicester University in partial fulfillment of the requirements for the degree of Master of Business Administration. CONTENTS Page Acknowledgments Executive Summary Introduction Internet
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#9 Though an older article‚ “Apple Grows‚ But So Does Channel Conflict” ‚ demonstrates an excellent example of marketing and channel conflicts. As a result of the wide success of Apple’s comeback through the sales of iPods and iPhones‚ Apple aggressively increased the growth of their retail stores at a rate of about 33 percent a year (push strategy). At the same time‚ Apple previously had utilized a distribution (distribution channel) to many other companies (non-Apple stores). Prior to Apple’s
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The Fashion Channel Marketing Analysis XXXXXX XXXXX Abstract The Fashion Channel (TFC) has enjoyed a calm journey on the top of the fashion-programming niche for almost 10 years. However‚ there is a frontal attack from market-challengers of two other cable networks to capture market share and revenues from TFC. The CEO is keenly aware that TFC needs a new marketing strategy if they want to remain the market leader. Therefore‚ he hired a senior vice president of marketing
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A STUDY ON DISTRIBUTION CHANNEL AT PEPSICO Submitted in partial fulfillment of the requirement for the award of degree In Post Graduate Diploma in Management Submitted by MD. FARUQUE ANSARI 09/KA/NHLI/PGDM/FT/B/045 Under the guidance of MR. T. SIDDHARTH
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Terms and responsibilities of channel members In conceiving the tasks to be performed by different types of intermediaries in the distribution channel‚ managers must also determine the mix of conditions and responsibilities that must be established among the channel members to get the tasks performed effectively and enthusiastically. The ’trade-relations mix’ is capable of many variations and introduces a still further dimension of alternatives. There are four main elements in the trade-relations
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I. Who should take the blame for getting Standard Machines Corp into the crisis it faces vis-à-vis closing on a major sale with an established account? The blame for Standard Machine Corp can be directed in one of three ways: Industry: One could argue that innovation in the machine tool equipment industry has been stagnant and resulting caused customers to view machines as commodities and compete on price. Another thought is that the industry allowed a low cost player to enter and therefore
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Pricing is both an art as well as science. There is no one right way to determine the price of products or services you are selling. To a large extent‚ the price is based on the value customers perceive to get from the product and what they are willing to pay for it. So what factors do you need to consider when pricing your products and services? 1.Objectives of the Business : There may be various objectives of the firm such as getting a reasonable rate of return‚ to capture the market‚ maintenance
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Discuss the concepts of limit and predatory pricing. Explain how imperfect knowledge of other firms’ costs or financial conditions can lead to limit or predatory pricing. Limit pricing is when an incumbent firm sets a “low price with the purpose of deterring entry”. Predatory pricing is when an incumbent sets an “‘irrationally’ low price [possibly below cost] so other firms can’t compete” forcing existing firms to exit the market. Both pricing strategies require at least two periods: the first to
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