ADM 2320 Lecture Notes - Lecture 14: Logistics, Direct Market, Supply Chain
Document Summary
Distribution, aka place the final p in the marketing mix, product gets to ultimate buyers through channels of distribution, there are several distribution components Distribution channels: distribution components, typical channels & intermediaries", functions performed by. Channel structure: direct distribution, indirect distribution, multichannel distribution or some combination of these forms, distribution channel structure: Continuous search for sustainable competitive advantage (sca) more reliably found in channel management. Strategic and key: the power of retailers in marketing channels is increasing, requiring strategic consideration of product and service distribution. Larger retailers have enormous power in the distribution channel (think walmart!) Becoming buying agents for customers, instead of their traditional role as selling agents for suppliers. Most operate on the low price/low margin model (again, think walmart!: distribution channel management: Strategic and key: a strategic necessity is to continuously reduce distribution costs. The costs of distributing goods are a significant percentage of the final price of products (recall the video: supermarket inc.