BU479 Lecture Notes - Lecture 7: Exclusive Dealing, Outsourcing, Digital Goods
Document Summary
Distribution channels: flow of product from producer to consumer, establish brand identity and preference, goals of effective distribution: Channel structure: ease of use, price, search effort, service, aesthetic appeal, convenience, assortment, enjoyment. Direct channels: direct sales, company website: disintermediation, company owned retail outlets, example: athena software only has a direct channel of distribution through software as a. Information quality service solution that is targeted to anyone who deals with cases: example: polycom, indirect channel which are major computer hardware distributors focusing on the manufacturing of hardware and let partner look after distribution. Distribution intensity: continuum from intensive, exclusive and selective distribution, exclusive: one or two retailers, high end or specialty products, selective: choosing the distributors very selectively, looking at all your options and. Intensive: selling in every products or services determining which retailers fit with your company the best sits in the middle between intensive and exclusive distribution: the nature of the product is going to determine distribution intensity.
