LESSON 5 PART 2 Flashcards
Decisions must be made by the firm on how broadly or narrowly its products will be distributed. This will determine the number of intermediaries that will be tapped.
Distribution strategies
strategy that requires the firm to sell its product through every available outlet in a market where a consumer might reasonably try to find them. Intensive distribution is applicable to convenience goods
Intensive distribution
is selling through only those outlets which will give the product special attention
used for purposes like avoiding making sales to middlemen
Selective distribution
- Poor credit rating;
- A reputation for making too many returns or requesting too much services; 3. Place orders that are too small to justify making calls or service; and
- Are not in a position to perform satisfactorily.
Selective distribution
Agreement is one where the producer grants exclusive selling right to a middlemen in a certain area
Exclusive distribution
applicable to specialty products or services
Exclusive distribution
network of all the individuals, organizations, resources, activities, and technology involved in the creation and sale of a product. The chain starts from the delivery of materials from the supplier to the manufacturer, to the eventual delivery of the finished product to its user. The supply chain segment involved in the delivery of the product from the manufacturer to the consumer is known as the DISTRIBUTION
Supply Chain