MKT 100 Lecture 12: Chapter 12 Value Delivery

• School: Ryerson University
• Department: Marketing
• Course: MKT 100
• Professor: Khalil Rohani

Document Summary

Importance of marketing channels: channel choice affect other decisions in the marketing mix, a strong distribution system can be a completive advantage, channel decisions involve long-term commitments to other firms. Distribution channels, supply chain & logistics are related: distribution channel (institutions, logistics management (activities, supply chain management (both part of chain management, similar but different. Distribution components: logistics management focus on the flow of raw materials & finished goods from point of origin to final consumption, distribution channel focus on companies transfer the ownership of goods from producer to consumers at the point of consumption. Influence on distribution channel structure: customer expectations, channel member characteristics. Intensive a strategy designed to get products into as many outlets as possible: selective uses a few selected outlets in a territory, exclusive strategy of granting exclusive rights to sell to one or very few retail outlets. Independent or conventional supply chain: administered vertical marketing system, contractual vertical marketing system, corporate vertical marketing system.