Matakuliah : J0084 / Introduction to Management and Business Tahun : 2007 Versi :1/3 Pertemuan 23 (Twentythird Meeting) Distributing Product Halaman 1 Learning Outcome Student should be able to consider optimal distribution Alternatives related to different market scope level -> C3 Halaman 2 Learning Outline • Distribution Channel • Selecting Market Coverage • Selecting Transportation to be Used for Distribution • How to Accelerate Distribution Process • Retailer Background • Distributor Background • Vertical Channel Integration Halaman 3 1. Distribution Distribution Channel Channel a. Direct Channel Producer Consumer Halaman 4 b. One Level Channel Producer Retailer A Retailer B Retailer C Consumer Consumer Consumer Halaman 5 c. Two Level Channel Producer Distributor Retailer A Retailer B Retailer C Consumer Consumer Consumer Halaman 6 c. Determinant Factors of Optimal Distribution Channel: 1) Transportation ease 2) Standardization degree 3) On-line order Halaman 7 2. Selecting Market Coverage a. Distribution a. Intensive Intensive Distribution b. Selective Distribution b. Selective Distribution c. Distribution c. Exclusive Exclusive Distribution Select optimal market coverage type Halaman 8 3. Selecting Transportation Used for Distribution a. Truck b. Train c. Air Transportation d. Water Transportation e. Pipe Channel Halaman 9 4. How to Accelerate Distribution Process a. Accelerate Distribution Channels Past distribution Process Distribution Center Restructured Distribution Process Distribution center Region Warehousing Customer Customer Halaman 10 b. Using Internet for Distribution c. Integrate Production Process and Distribution Process E-Marketing Role Halaman 11 5. Retailer Background a. Outlet Amount Independent retail store Chain store b. Service Quality Full service retail store Self service retail store c. Variety of Product Specialty retail store Variety retail store d. Store VS Non-store Mail order retailer Home shopping networks Website Vending machine Halaman 12 6. Distributor Background a. How Distributor Serve Producer 1) Warehousing 2) Selling Skill 3) Distribution to Retailer 4) Credit Risk 5) Information Halaman 13 b. How Distributor Serve Retailer: 1) Warehousing 2) Promotion 3) Display 4) Credit Risk 5) Information Halaman 14 7. Vertical Channel Integration Vertical Channel Integration by Producer All costs? Vertical Channel Integration by Retailer Production cost? Product line? Enough Enough additional additional income? income? How relation to retailer? Skill to adapt in process production? Halaman 15
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