chapter 6

37問 • 1年前

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originates from the word for CANAL referring to the route products take from production to intermediate and final use.

Channel

Despite the growth of direct marketing in today's economy, most producers still sell to consumers through marketing intermediaries.

the producer user gap

Marketing channel design starts with understanding consumer purchasing patterns.

Distribution System Design

When deciding on a company's distribution channel policy, it's crucial to consider the desired level of market exposure.

Strategic Channel Choices

involves placing products in multiple outlets, aiming for maximum coverage.

Intensive Distribution

focuses on promising or profitable outlets, while;

selective distribution

strengthens partnerships between seller and reseller, resulting in loyalty.

exclusive distribution

a wholesaler who connects retailers and wholesalers

jobber

The movement of goods from raw material to final consumer

physical flow

Ownership transfer occurs from one institution to another

title flow

Direct promotion involves activities like advertising, personal selling, sales promotion, and publicity, directing influence from manufacturers to retailers or wholesalers, and end users to consumers.

information flow

companies that own two or more traditional levels of the supply chain, driven by growth and control over access to supply or demand.

corporate vertical channels

It is a co-ordinated system of distribution channel organization.

administered vertical marketing system

Each channel member chooses a position or location in the channel.

position and role

The cost of distribution can be minimized if transactions are routinized. In effect, through routinization, a sequence of marketing agencies is able to hang together in a channel arrangement or structure.

assortment and sorting

Buyers and sellers are often engaged in similar activities within the marketplace. There is a degree of uncertainty if manufacturers are unsure of customer wants and needs, and consumers are not always sure what they will find.

searching

There is a danger that there will be conflicts of interest and distribution channels will exhibit levels of conflict.

channel conflict

related to competition among similar types of intermediaries at the same level in the channel.

horizontal conflict

refers to competition among different types of intermediaries at the same level in the channel.

intertype conflict

refers to competition among different levels in a channel.

vertical conflict

Channel members appear to share a common goal – maximizing the efficiency and effectiveness of the total system.

goal incompatibility

Pressures exerted by the manufacturer will lead to stress and conflict in the relationship. If this is an established channel, it is in the interests of everybody to settle the dispute or misunderstanding quickly.

ideological differences

A solution exists to alleviate communications noise in distribution channels. A more efficient flow of information and communications in channels permits members to find solutions to their conflict based on common objectives.

problem solving

involves communication between conflicting parties. Emphasis is on influencing behavior to resolve conflict; the primary intention is to avoid or reduce conflict concerned with domain or sphere of influence.

persuasion

Refers to resolution of conflict involving new organizations in the agreement-reaching process.

politics

the normal method by which inter-organizational relations are conducted, adjusted and managed by ‘ambassadors’, envoys or other persons operating at the boundaries of member organizations.

diplomacy

Marketing constantly evolves, requiring marketers to adapt to changing channels and innovations to meet customer needs.

the dynamic nature of channels

The impact of the Internet on traditional retail channels like bookstores, travel agencies, and record stores has been significant, forcing them to adapt to changing customer purchasing behaviors.

internet channels

part of the ‘place’ element of the marketing mix and these have had a major impact on channel strategy and design

physical distribution and logistic

relates primarily to those elements that facilitate the flow of materials from the company to its distributors, retailers, final customers or all three.

physical distribution

primarily concerned with elements that facilitate the flow of goods and raw materials into and through the organization.

materials management

encompasses all of these in a total systems view of the ‘place’ element of marketing.

business logistic

The web of interrelationships it introduces poses considerable problems in its planning and management, particularly when trying to optimize the performance of the system. This is a reason why the growth of business logistics has been dependent on the development of appropriate IT tactical planning tools.

complexity

the need in a systems approach for individual elements to the effectively coordinated and planned.

effective coordination and organization

Having established the need for business logistics, we turn our attention to the design and operation of the system.

marketing strategy implication

In trying to optimize the performance of the total system we are confronted with trade-offs between the different elements; attempts to optimize performance of one part of the system without regard to the other elements tends to result in lower performance for the system as a whole.

trade off between elements

may cause conflict in two ways

communication breakdown

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Chaster Howell V. Taduran · 17問 · 1年前

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