2-19 and 2-21 Marketing Primer

Wholesalers non store distribution e tailing

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Unformatted text preview: ducts into as many retail outlets as possible including vending machines. • Selective Distribution -- Uses only a preferred group of the available retailers in an area. • Exclusive Distribution -- The use of only one retail outlet in a given geographic area. Distribution Chain - Apple Distribution The Company sells its products worldwide The through its retail stores, online stores, and direct sales force and third-party cellular network carriers, wholesalers, retailers, and value added resellers. resellers. Direct: Websites and Apple Stores Indirect Retail – Changes by product line and country, ie. Retail iPhone and USA only ATT (now also Verizon); iPhone As of September 25, 2010, the Company distributed iPhone in As 89 countries through 166 carriers. 89 Pricing Objectives $ ROI $ Traffic $ Market Share $ Sales $ Image $ Social Cost-Based Value-Service based Strategies - Skim Penetration EDLP High-Low Cost Leadership Breakeven Analysis Breakeven A means of finding the point, in dollars and units, means at which costs equal revenues; at Fixed costs Costs that continue even if no units are produced. Costs Another name for fixed costs is indirect costs. costs. Variable costs Costs that vary with the volume of units produced. Costs Another name for variable costs is direct costs. costs. Breakeven point in units Total fixed costs / (...
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This document was uploaded on 03/18/2014 for the course AEM 1200 at Cornell.

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