Term
|
Definition
| reaching targeted customers |
|
|
Term
| Distributions effects on Utility |
|
Definition
Place- through transportation and site location functions
Time- storage and warehousing functions
Possession- role of intermediaries providing credit |
|
|
Term
|
Definition
| a set of interdependent oraganizations that ease the transfer of ownership as products more from producer to business user to consumer |
|
|
Term
|
Definition
Retailers and wholesalers
provide contact efficiency |
|
|
Term
|
Definition
| sell to ultimate consumer |
|
|
Term
|
Definition
| doesn't sell to ultimate consumer |
|
|
Term
|
Definition
| being able to compare and buy a product from one company instead of having to compare multiple |
|
|
Term
|
Definition
| company can produce more becasue many wholesalers will buy a few of the product instead of personally having to sell entire inventory |
|
|
Term
| Discrepancy of Assortment |
|
Definition
Consumers like variety but manufacturers want to limit what they produce
Intermediaries will carry many competing brands to give consumers variety |
|
|
Term
| Major Channel Distributions |
|
Definition
2 Level Direct M-C
3 Level Channel M-R-C
4 Level Traditional Channel M-W-R-C |
|
|
Term
|
Definition
shortest, doesnt benefit from intermediaries
common for services
expanding due to internet |
|
|
Term
|
Definition
used by small and medium manufactures
worke best when retailer large enough to interact directly with manufacturer (Walmart, Costco)
popular w/ consumer goods |
|
|
Term
|
Definition
|
|
Term
|
Definition
M-W-W-R-C- longer chain common with globalization
M-W-C impossible by definition |
|
|
Term
| Factors of deciding Distribution channel |
|
Definition
Market
Product
Producer
Enviromental |
|
|
Term
|
Definition
geographical- widespread market requires longer chain
size- large market require longer chain |
|
|
Term
|
Definition
Perishability- shorter chain
Complexity/Standardization- more complex shorter channels |
|
|
Term
| Types of Producer Factors |
|
Definition
Operating Orientation
Resources- more "well off" companies may be able to shorten their chain |
|
|
Term
| Types of Environmental Factors |
|
Definition
Competition
Legal Restrictions
Technology |
|
|
Term
|
Definition
attempts to make product available everywhere
provides customer convenience, restricts mfg product control
used with convenience products (eggs, milk) |
|
|
Term
|
Definition
"more than one, less than all"
less customer convenience, more mfg control
selection based on who contributes best to profits
used for shopping products (clothes) |
|
|
Term
|
Definition
grants exclusive rights to carry product
coverage is lost maximum product control
helps high quality image
used for specialty products |
|
|
Term
|
Definition
| professionaly managed and centrally programmed networks, pre-engineered to achieve operating economies and maximum market impact |
|
|
Term
|
Definition
Corporate
Administered
Contractual |
|
|
Term
|
Definition
| single ownership of all channels |
|
|
Term
|
Definition
| coordination thorugh size, power, or effective leadership of channel level |
|
|
Term
|
Definition
| formal agreement between channel members |
|
|
Term
|
Definition
| right time, right place, right amount, right product at lowest possible cost |
|
|
