COMMERCE 2MA3 Study Guide - Amway, Ikea, Fax

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Activities involved in selling merchandise to ultimate consumers. Contact points between channel members and ultimate consumers. Represent the distribution channel to most consumers since a typical shopper has little contact with manufacturers and virtually no contact with wholesaling intermediaries. Determine locations, store hours, number of sales personnel, store layouts, merchandise selections, and return policies factors that often influence the consumers" images of the offerings more strongly than consumers" images of the products themselves. Channels of distribution/retailers within channels = capabilities/ brand opportunities. The general store first type of retail institution. Rise of supermarkets in the early 1930s, discount stores in the 1950s, convenience stores in the 1960s, and off-price retailers in the 1980s and 1990s. Wheel of retailing hypothesis that each new type of retailer gains a competitive foothold by offering lower prices than current suppliers charge; the result of reducing or eliminating services. Explains the patterns of change in retailing.