1. Explain the nature and scope of cHannel management
NCSCOS 4.08 A

2. What is channel management? Who are its members?
The process of balancing allocation of product inventory and pricing across distribution channels.
Channel members are anyone involved in the channel management process

3. How do channel members add value?
Business use intermediaries to move their merchandise through the country and the world
The use of intermediaries results from their greater efficiency in making goods available to target markets
Offers the firm more than it can achieve on its own through the intermediaries

4. What are channel functions?

5. Channel market tasks Group 1 – Manufacturer Group 2 - Wholesaler
Marketing
Packaging
Financing
Group 2 - Wholesaler
Storage
Delivery
Group 3 – Retailer
Merchandising
Personal Selling
Channel market tasks
The tasks are handled by different groups

6. When will a channel be most effective?
When each member is assigned tasks it can do the best
All members cooperate to attain overall channel goals

7. What is the difference between horizontal and vertical conflict?
Horizontal Conflict
Occurs among firms at the same level of the channel (ex. Retailer to retailer)
Vertical Conflict
Occurs between different levels of the same channel (ex. Wholesaler to retailer)

8. Channel management decisions
Selecting Channel Members
Identify characteristics that distinguish the best channel members
Managing and Motivating Channel Members
Partner relationship management (PRM) is key
Evaluating Channel Members
Performance should be checked against standards

9. Channel management decisions
Analyze Consumer Needs
Set Channel Objectives
Identify Major Alternatives
Types of intermediaries
Number of intermediaries
Responsibility of intermediaries

11. Channel management in a nut shell
The customer is the puzzle. You need to work with people to put the puzzle together to give the customer what they want.