Scribd Logo
Upload

Welcome to Scribd!

  • 109 views

    Marketing Strategy: O.C. Ferrell - Michael D. Hartline

    Uploaded by

    Muhammad Sohaib
    This document summarizes key concepts in distribution and supply chain management. It discusses marketing channels and the functions they perform in distributing products from producers to consumers. These include sorting, breaking bulk, inventory management, and providing services. The document also outlines different channel structures like exclusive, selective, and intensive distribution. It notes the importance of collaboration, connectivity, and community in integrating supply chains. Various trends in marketing channels are reviewed, such as the growth of e-commerce, shifting power to retailers, and increased outsourcing of channel functions. Legal and ethical issues in supply chains involving dual distribution and counterfeit products are also addressed.

    Copyright:

    © All Rights Reserved
    Download as PPT, PDF, TXT or read online from Scribd

    Marketing Strategy: O.C. Ferrell - Michael D. Hartline

    Uploaded by

    Muhammad Sohaib
    109 views20 pages
    This document summarizes key concepts in distribution and supply chain management. It discusses marketing channels and the functions they perform in distributing products from producers to consumers. These include sorting, breaking bulk, inventory management, and providing services. The document also outlines different channel structures like exclusive, selective, and intensive distribution. It notes the importance of collaboration, connectivity, and community in integrating supply chains. Various trends in marketing channels are reviewed, such as the growth of e-commerce, shifting power to retailers, and increased outsourcing of channel functions. Legal and ethical issues in supply chains involving dual distribution and counterfeit products are also addressed.

    Original Description:

    distribution and suply chain management

    Original Title

    ch09

    Copyright

    © © All Rights Reserved

    Available Formats

    PPT, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    This document summarizes key concepts in distribution and supply chain management. It discusses marketing channels and the functions they perform in distributing products from producers to consumers. These include sorting, breaking bulk, inventory management, and providing services. The document also outlines different channel structures like exclusive, selective, and intensive distribution. It notes the importance of collaboration, connectivity, and community in integrating supply chains. Various trends in marketing channels are reviewed, such as the growth of e-commerce, shifting power to retailers, and increased outsourcing of channel functions. Legal and ethical issues in supply chains involving dual distribution and counterfeit products are also addressed.

    Copyright:

    © All Rights Reserved
    Download as PPT, PDF, TXT or read online from Scribd
    Download as ppt, pdf, or txt
    109 views20 pages

    Marketing Strategy: O.C. Ferrell - Michael D. Hartline

    Uploaded by

    Muhammad Sohaib
    This document summarizes key concepts in distribution and supply chain management. It discusses marketing channels and the functions they perform in distributing products from producers to consumers. These include sorting, breaking bulk, inventory management, and providing services. The document also outlines different channel structures like exclusive, selective, and intensive distribution. It notes the importance of collaboration, connectivity, and community in integrating supply chains. Various trends in marketing channels are reviewed, such as the growth of e-commerce, shifting power to retailers, and increased outsourcing of channel functions. Legal and ethical issues in supply chains involving dual distribution and counterfeit products are also addressed.

    Copyright:

    © All Rights Reserved
    Download as PPT, PDF, TXT or read online from Scribd
    Download as ppt, pdf, or txt
    of 20

    MARKETING STRATEGY

    O.C. FERRELL MICHAEL D. HARTLINE

    Distribution and Supply Chain


    Management

    Distribution and
    Supply Chain Concepts
    Marketing Channels
    An organized system of marketing institutions
    through which products, resources, information,
    funds, and/or product ownership flow from the
    point of production to the final user.

    Physical Distribution
    Coordinating the flow of information and
    products among members of the channel to
    ensure that products are available in the right
    places, in the right quantities, at the right times,
    and in a cost-efficient manner.
    9-2

    Graphical Depiction of a Supply Chain

    Exhibit 9.1

    9-3

    Marketing Channel Functions


    Channel Function Specializations

    Sorting
    Breaking Bulk
    Maintaining Inventories
    Maintaining Convenient Locations
    Providing Services

    Channel Effectiveness and Efficiency


    Distribution Decision Criteria
    (1) Is the channel effective?
    (2) Is the channel efficient?

    9-4

    Discussion Question
    Some manufacturers and retailers advertise
    that customers should buy from them
    because they eliminate the middleman.
    Evaluate this comment in light of the
    functions that must be performed in a
    marketing channel. Does a channel with
    fewer members always deliver products to
    customers at lower prices? Defend your
    position.
    9-5

    Strategic Issues in Distribution


    and Supply Chain Management
    Marketing Channel Structure
    Exclusive Distribution
    Selective Distribution
    Intensive Distribution

    Channel Integration (three key factors)


    Connectivity
    Community
    Collaboration

    Creating and Enhancing Value in the Supply Chain


    9-6

    Discussion Question
    Describe the characteristics of a product that
    represent something you would go to great
    lengths to acquire, thus supporting a
    manufacturers use of an exclusive
    distribution strategy. How much more
    knowledgeable are the salespeople at an
    exclusive distribution location versus those
    at an intensive distribution location? Why is
    this so?
    9-7

    Marketing Strategy in Action


    Clinique cosmetics uses a
    selective distribution
    strategy as their primary
    marketing channel
    structure.
    What is the motivation
    for using this strategy for
    this type of product line?
    What are the apparent
    benefits that Clinique
    receives from this
    strategy?

    9-8

    Maximizing Profit Margin Performance

    Exhibit 9.2

    9-9

    Conflict and Collaboration


    in the Supply Chain (1 of 2)
    The Basis of Conflict in the Supply Chain
    Five basic sources of power:

    Legitimate Power
    Reward Power
    Coercive Power
    Information Power
    Referent Power

    9-10

    Factors in Successful
    Supply Chain Collaboration

    Exhibit 9.3

    9-11

    Conflict and Collaboration


    in the Supply Chain (2 of 2)
    Collaborative Supply Chains
    Category management must be:

    Customer driven
    Strategically driven
    Multifunctional
    Financially based
    Systems dependent
    Focused on immediate consumer response

    9-12

    Major Components of
    Category Management

    Exhibit 9.4

    9-13

    Trends in Marketing Channels (1 of 2)


    Advancing Technology
    Growth of Internet and e-commerce
    Radio frequency identification (RFID)

    Shifting Power in the Channel


    Discount mass merchandise retailers
    Wal-Mart, Kmart, and Target

    Category focused retailers (category killers)


    Toys R Us, Lowes, Office Depot, AutoZone,
    Best Buy

    and

    Outsourcing Channel Functions


    Outsourcing is growing rapidly

    9-14

    Category Killers - AutoZone

    9-15

    The Trend in Outsourcing

    Exhibit 9.5

    9-16

    Trends in Marketing Channels (2 of 2)


    The Growth of Direct Distribution and
    Nonstore Retailing
    Examples of Nonstore Channels

    Catalog and Direct Marketing


    Direct Selling
    E-Commerce
    Home Shopping Networks
    Vending
    Direct Response Advertising

    The Growth of Dual Distribution


    9-17

    Discussion Question
    What are the major differences you have
    experienced in buying a product through a
    physical retail store, a manufacturers
    physical store, a catalog, and an online
    merchant? What have some retailers in
    your area done to justify their ongoing
    presence in the channel?
    9-18

    Legal and Ethical Issues


    in the Supply Chain

    Dual Distribution
    Exclusive Channel Arrangements
    Tying Arrangements
    Counterfeit Products

    9-19

    FDA Against Counterfeit Drugs

    9-20

    You might also like