C ha nature importance of marketing channels channe l

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Unformatted text preview: cha nne l comple xity a s a dditiona l cha nne l le ve ls a re a dde d. c ha Nature & Importance of Marketing Channels Channe l Me mbe rs Are Co nne c te d Via A Varie ty o f Flo ws Via • P hys ica l Flow • P a yme nt Flow • Informa tion Flow • P romotion Flow • Flow of Owne rs hip F low Channel Behavior and Organization • Cha nne l Conflict O ccurs whe n cha nne l me mbe rs dis a gre e Occurs on role s , a ctivitie s , or re wa rds . on Type s of Conflict: Horiz ontal conflict: o ccurs am ong firm s at the Horiz s am e channe l le ve l Ve rtical conflict: o ccurs am ong firm s at Ve diffe re nt channe l le ve ls d iffe Channel Behavior and Organization • Ve rtica l Ma rke ting S ys te ms Corpora te VMS Contra ctua l VMS Manufacture r-s pons ore d re taile r franchis e s ys te m Manufacture r-s pons ore d whole s ale r franchis e s ys te m S e rvice -firm -s pons ore d re taile r franchis e s ys te m Adminis te re d VMS Channel Behavior and Organization • Multicha nne l Dis tribution S ys te ms Als o ca lle d hybrid ma rke ting cha nne ls O ccurs whe n a firm us e s two or more Occurs m a rke ting cha nne ls Hybrid ma rke ting ha s ma ny a dva nta ge s • Cha nging Cha nne l Orga niza tion Dis in...
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