INTERNATIONAL MARKETING 6e Chapter 13 Channels and distribution Strateqies Copyright 2001 by Harcourt, Inc.. All rights reserved. Requests for permissions to make copies of any part of the work should be mailed to the following address: Permissions Department, Harcourt, Inc, 6217 Sea Harbor Drive, Orlando, Florida 32887-6777
Copyright © 2001 by Harcourt, Inc.. All rights reserved. Requests for permissions to make copies of any part of the work should be mailed to the following address: Permissions Department, Harcourt, Inc., 6277 Sea Harbor Drive, Orlando, Florida 32887-6777. INTERNATIONAL MARKETING 6e Channels and Distribution Strategies Chapter 13
In international distribution The firm sells to its customers directly through its own sales force indirectly through independent intermediaries indirectly through an outside distribution system with regional or global coverage Copyright 2001 by Harcourt, Inc. All rights reserved
Copyright © 2001 by Harcourt, Inc. All rights reserved. 13-2 In International Distribution The firm sells to its customers: • directly through its own sales force • indirectly through independent intermediaries • indirectly through an outside distribution system with regional or global coverage
Channel structure How to structure the distribution channels is the most important long-term marketing mix decision a firm may make n Channel structures are designed to manage multidirectional (horizontal and vertical connections in physical movement of goods and services transactiona/ title flows information communications flows Copyright 2001 by Harcourt, Inc. All rights reserved 13-3
Copyright © 2001 by Harcourt, Inc. All rights reserved. 13-3 Channel Structure How to structure the distribution channels is the most important long-term marketing mix decision a firm may make. Channel structures are designed to manage multidirectional (horizontal and vertical) connections in • physical movement of goods and services • transactional title flows • information communications flows
Channel configurations Manufacturer Manufacturer Originator Agent Pg nt Agent Agent Wholesaler Wholesaler Retailer Agent Industrial Agent Retailer Distributor Retailer Retailer Industrial Distributor Agent Consumer Consumer ndustrial User Industrial U Consumer Industrial Services Products Products Copyright 2001 by Harcourt, Inc. All rights reserved 13-4
Copyright © 2001 by Harcourt, Inc. All rights reserved. 13-4 Channel Configurations Manufacturer Manufacturer Originator Consumer Industrial User Consumer / Industrial User Agent Agent Agent Agent Agent Agent Agent Wholesaler Wholesaler Retailer Retailer Retailer Retailer Industrial Distributor Industrial Distributor Consumer Products Industrial Products Services
Channel Design Considerations Customer characteristic What do they need why do they need when do they need How do they need Copyright 2001 by Harcourt, Inc. All rights reserved 13-5
Copyright © 2001 by Harcourt, Inc. All rights reserved. 13-5 Channel Design Considerations Customer characteristic: • What do they need ? • why do they need ? • when do they need ? • How do they need ?