Strategy in Marketing channels Week 4 Instructor: Jungwan Lee

Learning objectives

Distribution decisions Questions What role should distribution play in the firms overall objectives and strategies? What role should distribution play in the marketing mix? How should the firm ’ s marketing channels be designed to achieve its distribution objectives? What kinds of channel members should be selected to meet the firm ’ s distribution objectives? How can the marketing channel be managed to implement the firm ’ s channel design effectively and efficiently on a continuing basis? How can channel member performance be evaluated?

Six basic distribution decisions Role of distribution in the firm ’ s overall objectives and strategies Role of distribution in the marketing mix Design of marketing channels Selection of channel members Management of the channel Evaluation of channel member performance

Role of distribution in the marketing mix Distribution relevance to target market demand Competitive parity in other marketing mix variables Distribution neglect and high degree of competitive vulnerability Distribution and synergy for the channel

Designing marketing channels Differential advantage and channel design=sustainable competitive advantage Channel positioning