complementary merchandise in an exclusive territory also called manufacturers

Complementary merchandise in an exclusive territory

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complementary merchandise in an exclusive territory; also called manufacturer’s representatives Selling agents: represent a single producer and are responsible for the entire marketing function of that producer Brokers: independent firms or individuals whose principal function is to bring buyers and sellers together to make sales Manufacturer’s Branches and Offices: are wholly owned extensions of the producer that perform wholesale activities Manufacturer’s branch office carries a producer’s inventory and performs the functions of a full-service wholesaler Manufacturer’s sales office performs only a sales function, and serves as an alternative to agents and brokers Vertical marketing systems (VMS) and Channel Partnerships Vertical marketing systems (VMS): professionally managed and centrally coordinated marketing channels designed to achieve channel economies and maximum marketing impact Corporate systems: the combination of successive stages of production and distribution under a single ownership
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Contractual system: independent production and distribution firms integrate their efforts on a contractual basis to obtain greater functional economies and marketing impact than they could achieve alone Franchising: contractual agreement between a parent company (a franchiser) and an individual or firm (a franchisee) that allows the franchise to operate a certain type of business under an established name and according to specific rules Administered systems: achieve coordination at successive stages of production and distribution by the size and influence of one channel member rather than through ownership Factors affecting Channel Choice and Management Environmental factors: the changing environment (chap 3) has an important effect on the choice and management of a marketing channel Consumer factors: consumer characteristics have a direct bearing on the choice and management of a marketing channel (who potential consumer, where they buy, when , how, what) Product factors: Highly sophisticated, unstandardized, high unit value products are distributed
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