10 27 Notes Chapter 14 Marketing Channels and Retailing Marketing channel set of interdependent organizations that eases the transfer of ownership as products move form producer to business user or consumer Specialization and division of labor Overcoming discrepancies Providing contact efficiency Channel members negotiate buy and sell products and facilitate the change of ownership between buyer and seller in the course of moving the product from the manufacturer into the hands Specialization of Division of Labor Creates greater efficiency Provides lower production costs Create time place form and exchange utility Channel Intermediaries Merchant Wholesaler an institution that buys goods from manufacturers takes title to goods stores them and resells and ships them Agent and Brokers wholesaling intermediaries who facilitate the sale of a product by representing channel members Consumer Marketing Channels Direct channel Producer Consumer Retailer channel Producer Retailer Consumer Wholesaler channel Producer Wholesalers Retailers Consumers Agent broker channel Producer Agent Brokers Wholesalers Retailers Consumers Factors Affecting Channel Choice Market factors Product factors Producer factors Market factors Customer profiles Consumer or industrial customer Product Factors Product complexity Price Life cycle Delicacy Producer factors Producer resources Number of product lines Desire for channel control Levels of Distribution Intensity Intensive Selective Exclusive
View Full Document
Unlocking...