Place/ DIstribution

Question 1

Define Marketing channel and channel members?

Answer 1

1. Inderpendednt organisations that facilitate the transfer of ownership from producer to user
2. All parties in the marketing channel that negotiate with eachother, buy and sell products, in the course to get the final product in the hands of the consumer

Question 2

What are the 4 main discrepancies of distribution that can occur in business?

Answer 2

1. Time (tempral)
2. Place (spacial)
3. Quantity
4. Assortment

Question 3

What are the 4 channel structures?

Answer 3

1. Direct
2. Retail
3. Wholesale
4. Agent/ broker

Question 4

What are 3 functions of intermediaries?

Answer 4

1. Transactional Functions - contacting/ promotion - negotiating - Risk taking
2. Logistical Functions
3. Facilitating Functions - Physically distributing - storing - sorting

Question 5

What are the 3 channel stategy factors?

Answer 5

1. Market - Customer profile, end user - Geographic location - Size of market
2. Product - complex, expensive, perishable/ delicacy
3. Producer - Large company resources - product range - control requirements

Question 6

What are the 3 levels of distribution intensity?

Answer 6

1. Intensive - Achieve mass market, convience goods - Many intermediaries
2. Selective - Work with selected intermediaries, shopping & specialty goods
3. Exclusive - Single Intermediarie, specialty goods - one intermediaries

Question 7

What are the two types of channel conflict?

Answer 7

Vertical and horizontal conflict

Question 8

Define channel power and control?

Answer 8

1. Capacity of a marketing member to influence the behaviour of other channel members .
2. When a channel member intentionally affects another members behaviour.

Question 9

What is supply chain management?

Answer 9

the management system that coordinates all activies performed by supply chain members.

Question 10

What is an inventory control system?

Answer 10

Method of developing and maintaining adequate assortment of products to meet customer demand.

Question 11

What are the steps to supply chain management?

Answer 11

1. Sourcing & Procurement (acquisition of goods)
2. Production Scheduling
3. Order proccessing and customer service
4. Inventory Control
5. Warehouse and material handling
6. Transportation

Question 12

What are the non-store retailing outlets?

Answer 12

1. Automatic Vending
2. Direct Response
3. Electronic
4. Personal Retailing