Transcript PPT Chapter 8 Distribution channels and logistics management

Chapter 8 Distribution channels and
logistics management
The learning objectives
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The nature of distribution channels
Channel behavior and organization
Channel design decisions
Channel management decision
Physical distribution and logistics management
1.The nature of distribution
channels
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What is distribution?
Why are marketing intermediaries used?
The function of distribution channel
Channel level
What is distribution channel?
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A set of interdependent organizations involved
in the process of making a product or service
available for use or consumption by the
consumer or business user.
Why are marketing intermediaries used?
Distribution channel function
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Information
Promotion
Contact
Matching
negotiation
Channel level
Channel behavior and organization
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Channel conflict
Vertical marketing system
Horizontal marketing system
Hybrid marketing systems
Channel conflict
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Horizontal conflict
Vertical conflict
Vertical marketing systems
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Conventional distribution
VMS
Corporate VMS
Contractual VMS
Administered VMS
Franchise organization
Horizontal marketing system
Hybrid marketing channel
Retailing and wholesaling
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P475/ 498
WHAT’S the difference between retailing and
wholesaling?between agents and brokers?
2.channel design decision
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Analyzing consumer service needs
Setting channel objectives and constraints
Identifying major alternatives
Evaluating the major alternatives
Identifying major alternative
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Types of intermediaries
Number of marketing intermediaries
Responsibilities of channel members
Number of marketing intermediaries
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Intensive distribution
Exclusive distribution
Selective distribution
3.Channel management Decision
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Selecting channel members
Motivating channel members
Evaluating channel members
4.physical distribution and logistics
management
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Physical distribution(marketing logistics)
major logistics function
Integrated logistics management
Third-party logistics
Major logistics function
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Order processing
Warehousing
Inventory
transportation
Integrated logistics management
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Cross-functional teamwork inside the company
Building channel partnerships
Third-party logistics
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An independent logistics provider that performs
any or all of the functions required to get their
clients’ product to market.
Case discussion
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1.what is strategy of Ito-yokado? How do you think the ability of Ito?
2.why does Ito decide to purchase Southland?
3.how do you think the tendency of convenience store in the states?
4. how do you think the tendency of convenience store in Japan?
5. why are 7-11s successful in Japan?
6.how the oil shop influence the convenience stores?
7.how do you think the Southland?
8.what is your suggestion to Ito in acquisition of Southland?
9.how do you think the buyout of Southland?
10.how do you think the tendency of convenience store chains in
worldwide?