Sales Distribution Management

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Roll N0. .

3400
23/1215/20
DN-229
Master
Business December
of 2019
Administration (MBA) Examination
FT-3OSM (Full Time)
Time 3 Hours] : SALES AND
(New) Third
Semester
DISTRIBUTION MANAGEMEN
empt any
is four Max. Marks 80
compulsory and questions
carries 20
from Section A.
Al questions
carry equal marks.
marks. *

1. Describe the Personal Section A


DISCuss the Selling Process.
Behavioural Equation
Theory
Forecasting is key component ofof Selling in detail. Justify with the use of an exampie
3.
Sales
for Sales a

4.
Forecasting." Elaborate and comment
any business. There are
on this
several
tecnny used
EXplainofthe importance of statement.
design Distribution Distribution Channels. Discuss the
5.
Channels. different factors that goven he
DISCus nature Physical Distribution.
the of
Decisions How do Warehousing Inventory affect the Distribution
0. Write short notes on
(a) AIDAS Theory any two of the
following:
(c) Sales Compensation (6) Different types of Sales Jobs
(d) Channel Conflicts.
Section B
Sundaramn Soap Company was SUNDARAM SOAP COMPANY
in 1935 and had considered to be one of three
Its products
grown to be one of largest soap companies in India. It was
the leading manufacturers
enjoyed high reputation in the
of soaps and other
market. related washingestablished
Bengaluru. It had a
nation-wide distribution The company's head
office and products.in
country. organization with branch sales offices infactory were situated
all' leading cities of the
Sales at Lucknow
One of the
company's branch offices was established in Lucknow. This office
and control of a
marketing manager, who was assisted by four salesmen functioned under the direction
distributed its products in Lucknow and office staff. The
an

stockists dealt exclusively with the throughofstockists and


wholesalers to about 8,000 company
retailers. The four
products the
authorized by the company to sell the in
company four different areas the
products both to wholesalers and of market. They
salesmen who frequently called on the retailers to sell the retailers. Each stockist had one orwere
two
service to its dealers, the company had company's products. With a view to
agreed to bear the offering
expenses incurred by these stockists in
better
the salesmen and also in
performing other services for the
company for increasing sales. These appointing
were in addition sales commission. The
to a
expenses
in selling.
company als0 often sent its own
salesmen to assist the stockists
Besides stockists, the company had
appointed about 120 wholesalers who distributed a
ofdifferent companies besides the products of Sundaram Soap Company. In appointing variety of
products
these wholesalers,
there mutual agreement between the company and the stockists.
was
The
goods to retailers who in turn sold them to consumers. Every wholesaler wholesalers sold the company's
purchases, subject to the condition that an order was placed for a minimumreceiyed3 per cent commission on
amount of T5,000. In addition
paying commission, the company provided stockists and wholesalers with promotional to
aids such as free
advertisements, handcart facilities, handout materials, etc. The company also
be willing to take back any unsold or damaged stock. gave the guarantee that it would

P.T.O.
In retur. the wholesalers were required to

Make frequent and


regular visits to retailers and replenish their stock:
S c e that the
company's products were properly displayed at
level: the retail
Ensure that advetisements and window-displays were properly
Send maintained
periodical reports siuggesting improvemeinls and modihCations in in all shops:
company the present
salcs
Maintain goud
Sell the
relationships
With the company s
salestnen and
retailers; and
practices of the
Dre

goods at the company's list


prices
The four salesmen of the company lookcd atter four
frequent Visits to the retail units to specific sales territories of
determine whcther the the marker r
retailers, whether the wholesalers
were satisficd with thc
company's products were provided
properly displaye and whether the prompt serui. e tomade the
and booked orders. company's products and prices. Very often, they retailers and con
in the ticld.
Each salesman submitted a
periodical report to the accompanied
the stockists' sners
sale
All soap
marketing manager on his n
companies which sold their products in Lucknow
ht ariations. According to the marketing tollowcd the same es
manager ot Sundaram Soap svstem distribution
Company. the wholesalers
plau ed
s

an important role selling the products of all these companies. In certain


in
sized companies, the wholesalers were entrusted with the cases, particularly with medie
products. Excepting the two big competitors, all other
entire ium
responsibility for seling the companv'
These products considered to be inferior in quality. companies products were sold at cheaper prices
were

Company's sales in Lucknow had been steadily


increasing year after year. However, the
manager received many complaints from the company salesmen, from marke:ing
retailers and from customers. It
reported that there was much undercutting of price by wholesalers for the was
company's strong enforcement activities, many dealers received company's products. Despite the
and sold them either surreptitiously or goods without the company's knowiledge
openly at discounted prices.
The marketingmanager personally investigated the problem. His
keen competition among the company's wholesalers which led to
investigation showed that there was
on to the retailers their entire 3 undercutting. Many wholesalers passed
per cent commission, and were satisfied with the value of the
which they got after distributing the empty cases
product to the retailers. Some wholesalers sold their products to dealers
who had no separate establishment of their own. There
was a tendency
tax on the
among these dealers to evade sales
products (which amounted to 4 per cent), and to cut prices. Each wholesaler handled a wide
range of products of different companies, and so the undercutting of prices of Sundaram's products and the
consequent loss of certain percentage of profit did not affect them very much.
The quick disposal of goods by the wholesalers at rates below the company's listed prices prompted the
retailers also to cut prices. Since most retailers got credit facilities from wholesalers, they were tempted to
dispose of Sundaram products at lower prices and invest the returns in other profitable items.
On a surprise visit to Lucknow, the marketing manager found that Sundaram products were being sold at
prices much lower than the company's prices in almost all retail shops; this created confusion in the minds of
consumers regarding the quality of the product. The retailers generally preferred to buy from the wholesalers
at lower prices rather than from the company or its stockists' salesmen. The company's salesmen, during their
routine calls, found it dificult to book orders.
The marketing manager feared that if this state of affairs was allowed to continue, it might seriously
affect the reputation of the company's products. He was also afraid that the wholesalers might lose interest
in selling the company's products due to the loss of their profit margin. He felt that the company should get
the cooperation of the retailers and make them realize that the company's genuine interest lay in stabilizing
prices and offering them better service.
In order to adjust to the local conditions, each branch was at perfect liberty to change its distribution
policy. Thus, the Lucknow salesmen of the company advocated elinmination of wholesalers. In their opinion.
the company had already established its reputation by having stable and fixed prices all over the country.
and it would be suicidal for the company to lose control over its prices locally. Further, they expected that
competition was likely to grow in the future. At this time to lose control over the market would mean a greater
loss in future.
The
marketing
of view of better manager recognized that
3 DN-229
control over direct selin
lling would result in many advantages from the point
sales
oronmotion. prices,
The company was also better
Detter relations with retailers and increased effectiveness ot compan
market. It Was also ina
posible to have a strong position financially to take its products to any part of the
margin which they were stronger sales force to undertake wider ent
At the same
now
giving to the
wholesalers. distribu
time, he felt that
that it would be a ere
difficult to depart there would be many dificulties
be difficulties in eliminao
elimination of wholesalers. He kne
given valuable service to the from the traditional method of
had no control company in the past. Especially in its distribution tnro s office
over the supply of the company's products due to initial stages, when inc lenecks.
the wholesalers transport and commu
purchased goods in bulk as and
and neipea the when thevy were available, stocked them
in
company in distributing the products
helped tne company to market its throughout the year. Furthermore, thetneiwnoiesaets
administrative difficulties, the products in rural areas with a population of less than 20,000 where, aue to
company could not take its
The products.
marketing manager also feared that the wholesalers, if
eliminated, might distribute for
And that Would affect the company's sales. He also realized that the wholesalerscompetntors.
adversely
ndu tioand
relationships with each retailer, supplying him with a variety of products of different companies,
providing him credit

Questions
What are the pros and cons of eliminating wholesalers? How would you decide about the elimination of
wholesalers from the company's distribution chain?
What other steps should the company take to avoid price cutting by the intermediaries?

23//2/5/20o
Roll No,
N-229

Master
Business
January 2019
Administrntion (MBA) Exinminau
ull Timo) (Now)
Pr-305M SALES AND
'T'hird Semenler
Time 3 Ilours| DISTRIBUTION MANACEMIEN Max. Markn O

Note: Alempt any four


Soction questions
1Ons from Section A.
A. All
All the
the questions
queHu* carry oqunl mar
B is
compulsory and carries 20
markH.
1. DNCuNs the Section A
changing rolo of Porsonal
Selling in Loday'n marketing envir
2What is
AlDAS
'Theory of Seiling ? Ilow this theory in helpfiul in ent
3 Sales Quotas cun
act. si
. Whalt are h e
as
'motivator as woll as
demotivator. Commen. ent
basie
components
compensation decidod ? of a
Compensation Package ? On
whi Dan"

5. Why marketor
roquires intermediaries ? and
product in the market ? Do they really help in promotinK ellingy an
6. Write notos on
any two of the
(a) Meaning and following
types of Sales Organization.
(b Managing Co-operation, Conflict and Competition among IntermediarieB:
(c) Strategic issues in designing Promotional
(d) Stratogics.
Concept and significance of "Territory Design.
(c) ED1 and Supply Chuin.
Section B
7. Analyse the case and the
answer
questions given at the end

CHANNEL MANAGEMENT A'T MAXWEL


The P'resident of Maxwell Corporation was considering whether the company should e t up its
own distribution system or whether it should outsource the entire distribution and logintics funetion to
a third party service provider. The company has set up a manufacturing plant at Vizag where wide
range of orthopaedic equipments, viz. wheel chairs, walkers, ete. is manufactured. Preently, the
finished goods warchouse is located at Vizag itself and the products are sent to all major towns in India
as point-to-point dispatch. The company is supplying these equipments directly to retail stores at all
these locations. Marketing activities is headed by a General Manager bascd at Vishakhapatnam who
is supplied by a sales team comprising of Sales Officers. The company is not resorting to advertisernents
and publicity though the products ofthe company are fairly known. But, it is felt that all the customers
want quick response to their orders as the products are catered to emergency patients. I lowever, thes
retail outlets carry only very limited inventories. This is due to the fact that most of the products come
in a variety of styles, shapes and sizes and the requirement is more customer driven and keeping even
a moderate inventory of all types is oconomically not viable and leads to development of dead stocka in
run. The company is looking at various options which include
thelong
(a) Setting up of a hub and spoke type of a distribution network wherein it proposed to Het
up a stock point or mother warehouse in cach zone - East, West, North, South and respective
retail outlets which are to be fed from the mother warchouse located in that zone.
(b) Setting up of a central warehouse anywhere in Central India and fecding retail outlet
from this location.
(c) Changing the distribution channel from the present numerous retail outlet system to a
more efficient system.

P.T. O.
2
utsoureing the entire distribution and logisties to the third party wherein the entir.
rotail Outlet
en civi
wil be taken
N-229
ransportation and distribution till the ultimate care o vily
od to
this service provider so that the company can focus more on activities related to mmarketing
by
and sales.
Answer the following
questions:
1. Out of the given follow for maximum
options, which should Maxwell Corporation benefit and
benefi.
why ?
a t should be the distribution channel for Maxwell and what advantages would such
of a
set-up have ? type
what type of a marketing and sales set-up would you recommend for Maxwoll Corporation
Corporation
(
Roll No R***
3300 20/14/80..

S-629
Master of usin January 2018
Business
(Pull Time)
Administratio
Administration (MBA) Examination
Time 3 Hours]
FB05M: SALES AND (Now) "1hird Semester
DISTRIBUTION MANA MANAGEMENT

NoteAttempt
Section any four questions
B is
[Max. Marks 80

compulsory andfrom Section A. All the


carrics 20 marks. ques qucstions carry cqual marks.

1. For selling Section A


MCG?
direct marketing in
today's context, examine the a tool of
role of as
peTSO
2. Explain the
Suying Formula Theory' and
Bchavioural Equation' thcoy
3. Discuss the terms:
methods of sales f market potential sales potential and
and sales
sales forecast. Briefly stave u
potential 10rea
4. A
company selling
Would it be possiblehigh fashion garments is adding to its
product iine
for it to continue with the oits carlier
sed 1or
product line ?
Explain with reason.
same channels as 6

5. What are the basic


components of a compensation
compensation package ? Illustrate the methods of
ancial compensation ?
a
package usura
*
6. Write notes on
any two of the following:
(a) Types of Sales Jobs
(b) Sales Budgeting
(c) Sales Promotions Impact on Sales
(d) Vertical and Horizontal Marketing Systems
(c) Internet as a Medium for Order Processing and Information.
Section B

7. Analyse the case and answer to the questions


SWATANTRA COMPANY
entire country.
established in 1940 to market
office equipment in the
Swatantra Company was
in UK. After the partition
manufactured by its parent company
entire product line with the government's
They carried the activities were confined
to India. In keeping
the country, the company's the country. HHowever, it continued
of the produets in
started manufacturing some of had a sales force of
policy, the company the brand n a m e of
the company. The company
under sales in their respective
to market the products who were responsible
for promoting the
more than
100 sales representatives
the
territories. the company compensated
sales force suficiently motivated,
the the length of service,
With a view to keeping varied according to
The salarics
basis of
salary-cum-commission.
on the other hand, w a s calculated
salesmen on the functions. The
commission,
non-selling 130 per cent of the quota
experience and
performance of achieved. Thus,
ifa person achieved
failed
quota But in c a s e a person
basis of the percentage the of cent of his salarics for the year.
on the 30 per
commissions
worked out to commission.
entitled to any
fixed, his he was not
a n n u m and in
subsequent
his target, at Rs. 10,00,000 per
to accomplish w a s fixed
territory
of a new
The quota in
case achieved.
of the quota
raised by 10 per cent
year it was

P. T.O.
2
Mr. Kapur had joined the company in 1970 immediately after his graduation
After an init
raning period ofthree months, he was allotted the newly created territory of South Delhi S-412
r 1970-80, Kapur was consistently successful in achieving the sales
9SO. Mr. Arora, a young man of 21, joined the company and alter 3 months of trainina:
Was given
quota fixed for
uring t
the year
the new territory of Faridabad. During the ycar 1981, Mr. Arora,
nitial salary of Rs. 500/-
(Rs. 500/-) and
who wae
per month, reccived a pay packet of Rs. 1,000/- which
consist ol
F'aridaha
was cmployed on.
a commission of Rs. 500/- (since he achieved a sales
target of 200 per eond i
emoluments for the same year, however, worked out to Rs. 950/- only, Since he was iust.nt).
ab Mr. Kapur.
salar
the target fixed for the
year.
Mr. Kapur (on entering the room) Sir, I am sorry to say Lhat it 1s no
longer possibl
continue with this company any further where .
Ssible for
me
Branch Manager: (interrupting him) Hold on, t
Kapur, calm down. Ilave a seat.
Mr. Kapur (sitting on the chair) Sir, how can you expect me to keep
years of my service in this
company I am no better than a
calm, if I find that
ago ? youngster, Who has joincd onl. I
Branch Manager: Oh, ycar
you are referring to Mr. Arora's performance this year.
Mr. Kapur
Sir, don't tell that his performance was better than
me
Since I have decided to mine.
have
quit the company. I am sure if you were in Anyway, I don
accepted a
pay packet of Rs. my position vou
Car
950-against Arora's of pay packet Rs. 1,000/,
Branch Manager: I
fully
quotas is done at the hcadappreciate
office
your viewpoint but l am
helpless. You know the fixati
and I have
Mr. Kapur Sir, I am sure
you will agree that the
no say whatsoever. fixation of
Just look at me. When I joined the present system of quotas fixation
supposed to company I was given a is ah
achieve a
target of target of Rs. 10,00,000 but todayabsurd.
in the industry. 60,00,000 from the same
territory despite the
Branch growing competiti.
Manager: You are right, but
Mr.
Kapur: (interrupting him) Sir, let's
longer be possible for me to continue
cut it short. Al I wanted to
out in this say was that it would
some papers from his company: n fact I have
Branch Manager:
pocket). to offers alrcady got no
Hang on. How (takina
I shall about seeing the Zonal
definitely put a word for you. Manager, who is coming to
Mr.
Kapur: I won't mind, but I must Delhi tomorrow?
Arora and I am repeat that I am
in the future. assured that the system of determined
quota fixation would be to quit unless I get more
Questions changed to avoid such than
1.
situations
Critically, evaluate the
2. As the present system of
Zonal
Manager, how would you quota fixation. Suggest suitable a
handle the mcthod.
situation ?

3300

20/14/30(
Roll No
4000
HV-629

Master of
Business January 2017
Administration (MBA) Examination
(Full Time) (New) Third
FT-305M: SALES AND
Semester
DISTRIBUTION MANAGEV NT

Time 3 Hours] Max. Marks 80

Note : Attempt any four questions from Section A. All the questions carry
equal
marks.

Section B is compulsory and co


pulsory and
on questions C
carries 20 marks.
Section.
productS
1. Personal selling is two-way communication best suited to
to aa company
company marketing
t e d
marketing consumer

with a poor brand loyalty. discuss.

9. What 1s the difterence between a suspect, a prospect and qualified prospect


suitable example.
Huct
3 Identify the factors you would keep in mind for deciding sales territories ior an
company like Crompton Greaves Ltd.
tion."
of
of sales organisation depends effective method distriou
4 "It is rightly said that survival
the of channels.
upon

Comment in the ight of various kinds

6. Explain the methods of sales force training.

6. Write notes on any two of the following


(a) AIDAS Theory.
b) Delphi Techniques.
Chain.
(c)EDI and Supply
to Field Force in brief.
d) Methods of Compensation

Functions of Retailing.
(e)
Section BB

and answer to the questions as


the case
sold directly to
customers
7 Analyse equipment and and its
power
generating five years old
Electronics
manufactured
itself was only
Bell network. The company international.
a
distribution national and
well as through several regions,
expanded to to
c o v e r
incentive p r o g r a m m e
salesforce w a s recently institute a sales
need to to increase
manager
felt a n urgent His objective
revenues.
w a s

The marketing increase corporate would


turn, system that
and, in
sales m a n a g e r s He devised a simple between
motivate the previous year. agreement
cent over
be set by mutual
revenues at least 30 per his goal, which would
exceeded
if he
reward sales
manager

and sales
managers.
competitive. Although, Bell had
manager extremely
marketing business w a s to allow
equipment come to their supervisors
generating would frequently amount of
The power managers spent
considerable
sales
price list, stop. The
manager
marketing had ton
approved list. The run, this
an
than approved
price that, in
the long
pricing He thought them price flexibility,
lower
exceptions. was to give
exceptions business. But
pricing from seeking
that would win
time reviewing sales personnel clients a price
discourage their to generate
only way to could quote dropping prices
which they from arbitrarily
would have
personnel
at lower prices
over
a range of price to sales
disincentive revenues

devise a The larger


then he had to i n c e n t i v e bonus.

and obtain
revenues bottom line.
larger corporate
o n the
negative impact P. T. O.
2
the
marketng
manager institutos
ted the ine
management,
After many discussions with
programme as follows per cent of t h . .
incentives
once they
reacn 80
neir goals
S a l e s personnel began accruing quote
lower prices if, in their
(2) Sales personnel had
price flexibility
t was the only way to win the businesS
and could
judgee
ntive
the incentiv would be -
authority
(3) At the lowest end discretionary price
price increased
above the minimts
imum mini \
price
The incentive would increase as the quoted meant m u c h larger incentives at higher
Ce lte
The incentive increased exponentially which
levels.
The marketing ma presented this
incentive
to the
programme
rom
salesforce
the salesfoPe
manager no reaclon
was virtually
an
enthusiastic support. However, there
Questions:
will achieve the results desired by the
DO you feel this incentive programme
manager?
Can you suggest alternative sales incentive programme to motivate the salesfam
2.
3. reaction from sales personnel for the programme ?
Why was there no

4000
Rol24/i2aö)**
3600
V-629

Ma_ter of
Business January 2016
Administration (MBA) Examina0
(Full Time)
FT-305M SALES (New) Third
Semester
Time 3 Hours AND DISTRIBUTION MANA (Max Marks Bo

Note: Attempt any four


Section B is questions from Section A. All the questions carry equa
mark*

compulsory and
cOmpulsory and carries 20
marks.
the
que
1 Take Section A
examples and
types of sales jobs. explain the role of iscuss
personal selling in developing na*

2 Explain the relationship aples


among sales forecasting setting quota and sales budgeting withezay
3. Traning to sales force is
you agree ?
Why having more purposes sales
purposes other than sale volume enhancement.
? Also se
discuss
sales force point of view. importance of compensauon "
4 Elaborate on
management of view
channels from cooperation, conflicts ana
co*
wnat 1s the
importance of sales
marketing environmen
ght
the strategic issues in designing promotion in todav's *
promotional strategies.
6 Elaborate on
following
a) Importance of transportation and warehousing
b)
in achieving physical distriDu
Marketing decision for wholesalers.
Section B
7. Analyse the case and answer the questions given at the end of the case
APEX ELECTRICAL CO.LTD. - RETHINKING DISTRIBUTION
Mr. Nathan, sales manager of Apex Electrical Co. Ltd. had just received a proposal from his regona
be the
manager at Bangalore for opening a sub-office in Madras and was considering what would
best decision in the company's short-run as well as long-run interest.
The company was in the business of manufacturing and marketing electric motors of a wide

range of horse power that could be used prime mover in numerous applications. The company's
as a
Calcutta
factory and head office were situated in Bombay and it had its branch offices at New Delhi,
and Bangalore, each headed by a regional manager.

sales in Karnataka, Tamil Nadu and Kerala.


The regional office at Bangalore was responsible for
which was used as the stocking centre for feeding
The company also maintained a godown at Bangalore
distribution network had grown over several years and as
sales in the complete region. The companys due to the
the arrangements could be explained. In Karnataka,
such there was no one rule by which the regional
the distribution network was closely controlled by
proximity of the regional headquarters, from
had several dealers covering the state and they all purchased goods directly
office. The company The ultimate prices to the consumer
office. All the dealers got a fixed percentageof discount.
the regional a r e a which was generaily ene to several
the Each dealer covered a specific
were fixed by company.
in another's territory. However, in the
discouraged one dealer interfering
districts and the company dealer who collectively covered the saies
main cities of Bangalore
and Mysore, there was
more
one dealers
than the and the office maintained god
salesman regularly contacted
in the city. The company
marketing information.

P.T.O.
2
Kerala, however,
the arrangement wns (uit.
In the states of Tamil Nadu and or
in the territory
were
channelled
through no
some historieal reasons, all the sales es of
to cover the citics of Madras
M ngle lig
distributor inturn had appointed
his own dealers
and R
i8
Other districts
ofthetwo states. The Regional
Office, therefore, ttle
had very little
inform Caveh 36
the distributor operated almost indopendo
marketing setup in this territory and distributor under his closorO
to bring the
CCASIons, the regional manager had attempted
able to exploit the
full potential of the control
an
mpression that the company
was not
authoritarian rule of the distributor.
He had occasional reports that the
distributor was not even ofcertain i m .
aware

he had not bothered to submit quotationaan T


Tloated in the region and on other occasions, in Lime. Th
dealers that they did not get a fair deal ande
were also complaints received from some ofthe
and service personnel ofthe Regional O . d
N
to deal with the company directly. Sales
prerer when requested specifically by the distrd
A
the states of Tamil Nadu and Kerala only
as it would mean byDae

consiypassi
derablneg fiimnanciTh
to by the distributor
objected
real problem visiting
ndependent generally
was
behind this was that the distributor had in the initial stages given considoralh
sharcholder and thus had connections
to the company. He was also an important
nelp
level. This did not mean the top management was prepared to sacritice the company's i high

otherwise, they preferred to leave the distributor


undisturbed. interest, ,
The regional manager felt that the little pieces of nogative feedback he had recci.
the tip of an iceberg. However, in the absence of concrete information, he could never put una could ty
case against the distributor. He had always been helpless whenever some dealers workinen
distributor complained to him. He feltit would seriously affect their morale if they realised
nung
ised t
the e
company
could not control the distributor.
Jathan
He had discussed this matter at length with the sales manager, Mr. Nathan who
who real: realised some
tight-rope walking was needed if he had to steer clear of this problem. Mr. Nathan was, howevor
r, anxi
to do something about it and one idea was to open an oftfice at Madras, the headquartor
distributor. While this would be for the declared purpose of helping the distributor in marketine.e
it would also put an automatic check on undesirable practices. Moreover, the sub-office can col
factual information that could be used to put up a convincing case against the distributor ifsueha
arose.Accordingly, the Regional Manager had now submitted a detailed proposal for opening a sub-a ha need
at Madras which would look after Tamil Nadu to start with.

The company had a striet policy of insisting on the regional office to achieve a fixed ratio ofsal
per rupee of expenses. For the Bangalore office this ratio was 50 in the previous year when the sala
sales
were Rs. 2 crore and expenses Rs. 4 lakh. Of this, the sales in Tamil Nadu were Rs. 50 lakh.
The proposal stated a sales forecast of Rs. 60 lakh in Tamil Nadu in the next year and estimatoi
expenses of the Madras sub-office at Rs. 1.20 lakh, thus achieving a ratio of Rs. 50 sales per rupee
expense. Among other things, the details of the proposal stated split up the expenses Rs. 40,0
towards salary and Rs. 30,000 toward travelling expenses of the two sales
personnel who would be
transferred from Bangalore to Madras.

Questions for Discussion:


1. What decision would you take if you were in
place of Mr. Nathan ?
2. Do you feel the proposal of new sub-office
is economically justified against the stated
the company ? If yes, why ? If no, then how could it be made policy
justifiable?

3600
24/12/30
RoNIZ2Ö/iO"
3500

PT-395
Master of
BusinessFebruary 2015
Time 3 Hours] FT-305M SALES Administr
(Full AND
Time) (MBA) Examinati
LES AND (New)
DISTRIBUT
Third
Note: Attempt SemesterMANAGEMENT
Section Banyis four
questions from Max. Marks 80
compulsory and Section A. All
carries
Briefly explain marks. the q
1. 2 uestions carry equal marks.
20
the
2. Disc
iscuss the personal selling Section A
example. "Right Set of ngprocess.
process. Explain
Expla
3. Ex Circumstances" Theory personal selling objectives.
Explain Selection and neory and
"Buying Formula" Theory. Give suitable
4. Explain Market Training
ng of
Salesman with the help of suitable example.
5. What is Channel's
with the Physical
help of DistributionCo-operation,
? Discuss theConflict and Competition.
6. Write short notessuitable nl
example. sne major
components of Physical
components
rnyo Distribution System
a
(a) AIDAS Theory.on any two of the following
(b)
(c) Wholesaling and
Sales Forecasting.Retailing.
7. Read the Section B
As
following case and answer
the
for
a

a
Sales
Manager, you have been questions
new brand of Fresh assigned the
Lime Juice (with responsibility of
summer minimal Preservatives)designing vast sales
a

The planned to be networ


launenea
wor

main focus in
company wishes to confine the launch neN
on Retail malls, to all
are 2nd large sized grocers metros, and major cities in India. The
priority. The firm is
targetting
and
general merchants. While other
weeks, of its launch. around 20,000 outlets to be serviced stores6
within the first
The advertising
week of the launch. campaign is expected to create awareness about the
new brand
The product has a shelflife of
by the 3rd
3 months from the
from Uttaranchal. date of manufacture and
will be manufactured
Questions:
(a) What additional information would
you need to develop
(b)What factors will you consider in an effective sales plan ?
(c) How would you measure the effectiveness of thedeveloping the sales force?
sales force in this
case ?

3.500 28/4/20/100
(

Roll
4200
No.

T-395
Master of
Business April 2014
Full Time)
FT-305M: SALES
Administration
(New) Third
atior (MBA) Examination
Time 3 Hours] AND Semester
Note: Atte
DISTRTBUTION MANAGENA
MANAGEMENT
ttempt any four Max. Marks 80
Section B is questions from Section A. All
compulsory and carries 20 .
the questions ca equal marks.
marks.
1
Elucidate the role of Personal Section A
2. Explain the "AlIDAS" and Selling in
Marketing Mix.
3. Discuss the Buying Formula" theories of
"Consumer's non-statistical
Clinic" methods of sales selling
and forecasting including "Delphi
"Experts Opinion" method s"
4. Explain the methods of salesforce with their mernts anu Tecnny
5. Explain the training.
difference between
6. Which factors are
wholeselling and retailing
most critical in selecting and distribution channel ?

Section B
7. Analyse the Situation and
Recommend your comments/
A Fast Food Restaurant suggestions
Group is considering to open its operations in daipur, in
order to develop a strong distribution network
and effective supply chain, with focus on
"fast order processing", effective inventory management multi-mode transportation in the
range of 50-70 kms. of Jaipur.
Prepare your physical distribution plan with suitable recommendations / suggestions
covering eritical points.
(

8/o/2ö/10" OR-395
Master of June August 2012
Business Adminis tion (MBA) Examination

Time 3 Hours]
FT-305M :
(Pull Time)
SALES AND
(New) Third
Semester
DISTRIBU
BUTION MANAGEMENT
Note:
Attempt four [Max. Marks 80
Section Bany
is questions Section
from
compulsory and carries 20 A. All the questions carry equal marks.
1. How the marks.
buyers2 buying situations of
household
Section A
2. Why are the
consumers are
a consumers are different
dine
from those of busness
products? distribution Cnannels
channels required
Ou

3 What required?? What role role do they play in the marketng of


is Pa
4. Merchandising ?
Explain various methods ofHow does the store manager
oEs the
manager prepar prepare his merchandising plan
Sales
steps involved for Forecasting
5. Descr1be the
6. What 1s
meant by physical
evaluating and
controlling sales force perio ance.
in distribution channel ? What is the
arranging channels of distribution importance ot e-co
for any of the
company
7 Analyse the Section B
case and
Hot and Cool
answer the question
Company
is located in an
metro city. The
company agricultural belt about 300 kilometers
Wheat straw.
is into
Last year, the writing and paper. printing
Its primary raw rom a
4,000 tonnes of company had a turnover of Rs.
134 crores on a volume mateta
paper. While
preparing business orI
managenment was concerned with the plan for the current year, the
topP
following distribution issue that they want to
The paper
industry is dominated by selling agents who resolve
and Cool and the like buyer bring the manufacturer like Hot
They make a commission of about
printing/publishing companies, and note book makers, together.
2% on all transactions.
(1) Hot and Cool depends on about 110
Some other points are as follows:
agents to Canvas business for it from the users.
(2) The company sells about 23% of its
paper directly to some govermment organizations.
(3) The agent arranges for the buyer to pay the
company for itsproducts by advance
demand draft. It is expected. that
the agent provides the
credit support to the buyer.
(4) Agents are not exclusive for Hot and Cool and work for other
paper mills also and
normally play the mills against each other. They have a grip on the business and
are reluctant to put the mill directly in touch with the buyers.

(5) There is always an uncertainty on the orders and the price, which would be obtained
on the orders - the company cannot plan its profits properly nor often the best service

to the end-users so that they always ask for the Hot and Cool

Question:
How canm vou help Hot and Cool to become less dependent on the selling agents and

plan its sales and profitability better ?

2800 18/10/20/10
No
40/20/30/40"
N-121
Master
1ess March 2011
of
Business
FT Administratic (MBA)
(Full Administration
305M SALES Time) (New) Examination
Time 3 Hours] AND Third Semester
DISTRIBUTION
TION MANAGEMENT
MANAU
Attempt any four
Note: Att IMax. Marks 80

Section
B is questions from Section IMin. Marks 32

compulsory and carries 20 A. All


marks. ques
ry equal marks.

Critically aluate the Section A


selling process. role of
Describe
personal sellingin Marketing Mix.
2. various theories Also describe the
of pers
Discuss the Sales Manag
strategic issues in 1agement with relevant
examples.
What do you
understand by thedesigning promotional strategies.
co-operation conflict and term "Distrihution
Channel" ? Critically evaluate the
Write a detailed note on competition in the management of
wholesalers and retailersWholesaling and Retailing. What
channels.
? are the
What are the
marketing ions for
aeci
medium
objectives of Physical
as a fororder processing andDistribution ? Also discuss the
information. importance o1 net

Section B
BIL-DRY, GRIP ON CORPORATION
John Briggs, VP for sales and AND SUBSIDIARIES
network manutacturer's
of marketing for Bil Dry, stated that incentive
important element the representatives would be expanded. These
in
programs
would
10r D
programs
strategy to increase market penetration and
numerous incentive programs had been
become an
market share. In the past,
network. Now, however, Mr. Brigg's instituted successfully at the retail level ofBil-Dry's distribution
concerm was to schedule incentive
representatives as well as for retailers and their personnel. programs for manufacturer's
of Asheville and the Evans Paint Through the Professional Sales Association
in the Low's and Evans chains.
Division, Bil Dry administered incentive programs for retail
Semi-annually, Bil Dry provided the retail stores with special personnel
discounts
enabling them to r n sales on Bil-Dry products. Promotional materials and layouts for special sale
advertising were
provided. Sales contests had also been very successful. Smaller retailers were
encouraged participate in a cooperative advertising program
to
Mr. Brigg's had a number of
questions, however, about the advisability of contests. Shoúld contests
continue for retail personnel ? What should be the basis for the contest ? Would cash
be more effective ? Mr. Brigg's wondered for, if there were any other payments
ways Bil-Dry could encourage
manufacturer's representatives to push the product line more effectively. At this point, Mr. Brigg's
had many more questions than answers.

Question
1. What should Mr. Brigg's do to improve distributive network relations ? Give your reasoning

6000 40/20/30/40
Roll No.
200 22/20/2064-

Master of S-604
Business April 2010
Time 3 Hours] FT-305MMAJ Administration
Third DISTRIBU
SALES AND Semester BA) Examination
Note: Atte
Attempt any three
of ISTRIBUTION MAN
IANAGEMENT
Section A carriesquestions
22 from (Max. Marks 90
1 What marks. Section A.
at is
of
Eurekapersonal
Forbes selling ?
Section
Section B carries
narks. **
npulsory. Each question

2. (a) Stat water Explain Section A


tate personal eing
purifier. Discuss
of
(b) Wha
importance
quotas in
brief. and selling process
p
functions of sales Theory with the help of example
AIDAS an
hat is sales
being salesforecasting ? Explain
3. (a)a) You quotas for
any company. Also
explain types
consider for manager of plain process of sales
(b) Discuss the designings the sales
Hero Honda'
Onda' motor
motor cycle
forecasting
selection
of any organisation.
process of
cycle company.
territories in M. P. compan What factors you will
a
sales person and
(a) Design a per and state its desigimportance for success
(b)
mumerateDistribution
Enu
the Channel for TV
5. (a) importance
Explain the model of and types of company.
a

m
impact on sales the rketings decisions for wholesalers.
b) Design Sales motivation process.
force
a
motivation.
Training
g
Discusus 1now
financial factors and their
Programme,
TOgramme, also discuss
dïscus in brief various
6. Analyse the Section B training metho0s.
case and
answer the
questions given at the end
The President of Maxwell CHANNEL MANAGEMENT AT MAXWELL
distribution system or Corporation was
considering whether
party servicewhether should outsource the entire the company should set up iEs
to a third it
wide range of provider. The company has set distribution and logistics oWto
Presently, the orthopedic equipments viz., up
manufacturing plant of function
a
finished goods crutches, wheel chairs, walkers Vizag where
major town in India as warehouse is located at etc. are
manufactured.
a
point-point dispatch. and the Vizag itself
to retail stores
at all these The company is are sent to all products
at locations. Marketing these supplyingdirectly equipments
not
Vishakapatnam who is
supplied
activities is headed by a
by a sales team general manager based
resorting to
advertisement publicity of salescomprising
But it is felt that all the
and
through the products of the officers. The company is
customers want quick company are fairly known.
to
emergency patients. How ever these retail response to their orders as the
only very limited products
outlets carry are catered
due to the fact that most of the
products come in a inventories.
variety of styles, shapes and sizes This is
requirement is more customers driven and and the
keeping even moderate inventory
economically not viable and leads to development a
of all types is
of dead stocks in
looking at, various options which includes the long run. The company is
(a) Setting upof a hub and spoke
type of a distribution network where in it
up stock point or mother warehouse in each zone- East, West, North, Southproposed
a to set
retail outlets which are to be fed from the mother and resDective
warehouse located in that
(b) Setting up of a central warehouse
zone.
anywhere central India and
in
feeding retail outlets
from this location.

P. T. O.
retail let SF
(c) Changin the
distribution channel from the present
numerous

a system to
more eficient system. wheren the entim

d) Outsou to a third party activit


the entire logistics nate
distribution and logist
entire distribution otail outlet will be taken caroy
retail ou
of transportation and distribution till the
e of
ed to
related to by
marketing
activities
m o r e on

this services provider t h a t the company


can focus
salee
Questions for Discussion: tollow tor maximum .
Corporation
which should Maxwell
t h e given option,
and why ?
Maxwell and
what advantages woulad would havine-
2What should be the distribution channel for
Such a type of a set-up have ?
What type of a marketing and sales set-up would you recommend for Maxwell Cormas
oration=

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