“Mapping the Existing Channel”The three existing channels currently used by Dell Inc.to sell their merchandise are the business customer channel, the retailers channel, and the Internet channel. The three channels vary in terms of effectiveness and efficiency and how different service outputs are delivered.Business Customer ChannelThe business customer channel is very effective because it delivers all the service outputs that the customer expects: complete customization, a personal liaison, and personal installation. This channel is also extremely efficient because it goes directly from the manufacturer, Dell, to the end-user, the customer. However, any competitor could come in and offer these same services if the price was right. This would result in Dell competing solely on price rather than on the unique services they offer. Retailers ChannelThe retailers channel is not as efficient as the business customer channel because the merchandise does not go directly to the end-user. First, the merchandise is built in bulk, and then it is distributed to either
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