MGT3020Midterm3StudyGuide

MGT3020Midterm3StudyGuide -...

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Marketing Channels and Supply Chain Management 00:59 Marketing channel Distribution channel Marketing Intermediary Middle man Wholesaler Distributes goods further, (distributer) Types of Marketing Channels Direct Selling o Direct channel Moves goods directly from a producer to ultimate user o Direct selling Strategy designed to establish direct sales contract between producer and  final user Channels using Marketing Intermediaries o Producer to wholesaler to retailer to consumer (traditional) o Producer to wholesaler to business user o Producer to agent to wholesaler to retailer to consumer o Producer to agent to wholesaler to business user o Producer to agent to business user
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Dual Distribution Selling through multiple distributions o i.e. stores, catalogues, and the internet o better effectiveness of the firm’s marketing effort Reverse Channels Return goods to their producers o i.e. paying a fee when buying a product (environment fee) Determining Distribution Intensity Number of intermediaries through which a manufacturer distributes its goods Intensive distribution o Manufacturer of convenience product attempts to saturate the market o Convenience products Selective distribution o Firm chooses only a limited number of retailers to handle its product line o Shopping product Exclusive distribution o Firm grants exclusive rights to a single wholesaler or retailer to sell its products in  a particular geographic area i.e. auto dealerships o specialty products
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Logistical Cost Control Third party (contract) logistics firm:  Company that specializes in handling logistics  activities for other firms PBB logistics: a leading North American third party international logistics provider Physical distribution Customer service Transportation Inventory control Protective packaging and materials handling Order processing Warehousing Warehousing Storage warehouse Distribution warehouse Automated warehouse technology o Cut distribution costs and customer service improved Warehouse locations o Warehousing and materials handling costs o Delivery costs from warehouse to customers Inventory control systems Important since firms need to maintain enough inventory to meet customer demand  without incurring unneeded costs for carrying excess inventory Just in time production Vendor managed inventory Order Processing Stockout o Order for a product that is unavailable for shipment
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Direct Marketing and Marketing Resellers 00:59 Retailing strategy – Retail Mix
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Direct Marketing and Marketing Resellers 00:59 Two fundamental steps o Selecting a target market o Developing a retailing mix to satisfy the chosen target market
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This note was uploaded on 04/12/2010 for the course MGT 3460 taught by Professor Ebenezerasem during the Spring '10 term at University of Lethbridge.

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MGT3020Midterm3StudyGuide -...

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