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Management - Admission/Application Essay Example

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Management Name: Institution: Management Marketing Channel Decision The market channels perform the task of moving goods from the manufacturers to the final consumers (Kotler & Keller, 2005). It overcomes the place, possession and time that separate services and goods from those who want them…
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Download file to see previous pages The marketing channel decision is one of the most important factor facing marketing managers. An organization’s marketing channel decisions are directly linked with other marketing decision. Most companies usually pay more attention to address other marketing decisions other than channel decisions. This usually costs damages to the organizations. Distribution channel decision frequently involves long-term commitments to other companies (Kotler & Keller, 2005). In theory, the cost of using intermediaries to achieve wider distribution is supposed to be lower. Generally, it is not easy for manufacturers to decide on the cost of selling their products and services directly to the final customers, except by mail order. In practice, if the manufacturer is large enough, the use of intermediaries can occasionally cost more than going direct (Kotler & Keller, 2005). It is, therefore, evident that many theoretical arguments about marketing channel are more concerned with cost than other channel factors. In contrary, practical decisions address customer control issues. Large organizations have the choice to choose other alternatives other than intermediaries, unlike small firms that have no alternatives but to use the intermediaries (Kotler & Keller, 2005). However, many distributors assume that their task in the marketing channel is to introduce products into the beginning of the distribution channel. Notably, this is just part of their responsibility. Suppliers should extend their tasks to manage all processes that are involved in that distribution channel, up to the time the product or service reaches the final consumer. This, therefore, means that channel decision involve a number of other decisions such as channel membership and motivation on the part of the supplier (Kotler & Keller, 2005). Marketing Intermediaries, Training and Motivation Suppliers sometimes outsource selling jobs to intermediaries so as to give up some control over how, and to whom the products and services are sold (Kotler & Keller, 2005). Suppliers prefer working with intermediaries because of their greater efficiencies in making the products and services available for the targeted customers. Through their specialization, experience, scale of operation, and contacts, intermediaries often offer the organizations more than they can achieve on their own. In the distribution channel, intermediaries obtain large quantities of products from the manufacturer, and break them down into broader assortments and smaller quantities required by the customers. Intermediaries are thus charged with the responsibility of matching supply and demand (Kotler & Keller, 2005). Suppliers vary in their abilities to attract qualified marketing intermediaries. Sometimes producers experience hard times selecting the most experienced and qualified intermediaries from a plenty of successful applicants. Clear guidelines and requirements for selecting the most experience intermediary should, therefore, be laid down by every organization. Producers should evaluate each channel member’s growth and profit records, years in business, reputation, and cooperativeness (Kotler & Keller, 2005). After selection, channel members should continuously be motivated to carry out their responsibilities to the best. The firms should not only sell through the intermediaries alone, but also through its channel members. Most organizations consider their intermediaries as their first customers. They may be offered positive motivators ...Download file to see next pagesRead More
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