Distribution and Finance Fashion Marketing Marketing Lesson Plan Performance Objective Upon completion of this lesson, the student will understand distribution and the importance of financial planning. Specific Objectives • Explain channels of distribution for fashion products • Describe activities of each channel member • Acquire knowledge of distribution systems to understand their role in retailing • Assess distribution strategies to improve effectiveness and minimize costs • Identify sources of financial assistance Terms • E-tailing-the process of doing retail business via the Internet • Manufacturer-an entity that makes goods in a process involving raw materials, components, or assemblies, usually on a large scale with different operations divided among different workers. Commonly used interchangeably with producer. • Vendor – an organization that supplies specific goods or services to the business markets and/ or organizational markets. Retailing definition: any firm from which a retailer obtains merchandise. • Retailer-a merchant middleman who is engaged primarily in selling to ultimate consumers. One retailer may operate a number of establishments. • Direct Channel-a channel whereby goods and services are sold directly from producer to final user without involvement of other independent middlemen. • Distributor-distribution is common at the wholesale level and the manufacturer expects strong promotional support. It is often a synonym for wholesaler. • Indirect Channel-a channel of distribution of products that involves one or more steps, or intermediaries. • Wholesaler-person or firm that buys large quantity of goods from various producers or vendors, warehouses them, and resells to retailers. Wholesalers who carry only non-competing goods or lines are called distributors. • Channel of distribution-the path a product takes from the producer to the consumer • Financing-the means of getting the money to pay for the operation of a business Time When taught as written, this lesson should take approximately 2 days to teach. Copyright © Texas Education Agency, 2014. All rights reserved. 1 Preparation TEKS Correlations: This lesson, as published, correlates to the following TEKS. Any changes/alterations to the activities may result in the elimination of any or all of the TEKS listed. 130.343. (c) Knowledge and Skills (6) The student knows that distribution channel members facilitate the movement of products. The student is expected to: (A) explain channels of distribution for fashion products (B) describe activities of each channel member in the fashion industry (C) acquire knowledge of distribution systems to understand their role in retailing (D) assess distributions strategies to improve effectiveness and minimize costs (7) The student knows that financial planning is necessary for success in the fashion industry. The student is expected to: (A) identify sources of financial assistance Interdisciplinary Correlations: English III • 110.33(1)(a) Reading/Vocabulary Development determine the meaning of grade-level technical academic English words in multiple content areas (e.g., science, mathematics, social studies, the arts) derived from Latin, Greek or other linguistic roots and affixes • 110.33 (1)(b) – Reading/Vocabulary Development analyze textual context (within a sentence and in larger sections of text) to draw conclusions about the nuance in word meanings • 110.33 (1)(c) – Reading/Vocabulary Development infer word meaning through the identification and analysis of analogies and other word relationships • 110.33(9)(c) – Reading/Comprehension of Informational Text/Expository Text make and defend subtle inferences and complex conclusions about the ideas in text and their organizational patterns • 110.33(11)(B) – Reading/Comprehension of Informational Text/Procedural Text translate (from text to graphic or from graphic to text) complex, factual, quantitative, or technical information presented in maps, charts, illustrations, graphs, timelines, tables and diagrams • 110.33(12)(A) – Reading/Media Literacy evaluate how messages presented in media reflect social and cultural views in ways different from traditional texts • 110.33(12)(B) – Reading/Media Literacy evaluate the interactions of different techniques (e.g., layout, pictures, typeface in print media, images, text, and sound in electronic journalism) used in multilayered media • 110.33(12)(C) – Reading/Media Literacy evaluate the objectivity of coverage of the same event in various types of media • 110.33(12)(D) – Reading/Media Literacy evaluate changes in formality and tone across various media for different audiences and purposes Occupational Correlation (O*Net – www.onetonline.org/): Job Title: Logistics Manager O*Net Number: 11-3071.03 Reported Job Titles: Logistics Manager, Integrated Logistics Programs Director Copyright © Texas Education Agency, 2014. All rights reserved. 2 Tasks • • • • Resolve problems concerning transportation, logistics systems, imports or exports, or customer issues. Direct distribution center operation to ensure achievement of cost, productivity, accuracy, or timeliness objectives. Negotiate transportation rates or services. Analyze the financial impact of proposed logistics changes, such as routing, shipping modes, product volumes or mixes, or carriers. Soft Skills: time management, complex problem solving, judgment and decision making, coordination Accommodations for Learning Differences: It is important that lessons accommodate the needs of every learner. These lessons may be modified to accommodate your students with learning differences by referring to the files found on the Special Populations page of this website (cte.unt.edu). Preparation • Teacher will review the terms in the outline, slideshow, and handouts to become familiar with lesson. • Teacher will have assignments and vocabulary words ready to distribute to students. • Teacher will have websites and pictures ready on projector for visual learning and comparison. References • Ekstrom, G., Justiss, M., & Glencoe/McGraw-Hill. (2006). Fashion marketing. New York: Glencoe/McGraw Hill • Professional marketing association websites • Small business assistance websites Instructional Aids • Display for slideshow • Ekstrom, G., Justiss, M., & Glencoe/McGraw-Hill. (2006). Fashion marketing. New York: Glencoe/McGraw Hill • Professional marketing association websites • Small business assistance websites Introduction Learner Preparation Ask the students to think about the last piece of clothing they purchased. Did they go to a store? Did they purchase it online? Ask them “How do fashion marketers get products to potential customers?” Discuss answers. Lesson Introduction SAY- Fashion Merchandise and products in general undergo quite a journey before they arrive at their final destination, the consumer. The journey is channel distribution. There are two types of channel distribution: direct and indirect. SHOW- The students a simple product image that would be sold in a direct channel of distribution (Ex: bread from bakery (on slideshow). Copyright © Texas Education Agency, 2014. All rights reserved. 3 ASK- Say: “Here is a loaf of bread from a local bakery.” Did it go through a direct or indirect channel of distribution? SAY- A direct channel of distribution is a path of distribution in which products are sold by the producer directly to the customer. SHOW- The students a product image of a professional team football jersey. Did this jersey go through a direct or indirect channel of distribution? SAY- An indirect channel of distribution is a path of distribution of products that involves one or more steps, or intermediaries. For example, a product moves from the manufacturer, to the wholesaler, to the retailer, and finally to the consumer. SAY- Most fashion products take the indirect channel of distribution, due to materials and cost. Outline MI Outline Instructor Notes (Day 1) After the introduction, students will fill out the vocabulary terms handout. Go over and discuss all meanings and terms. Students will then write down 4 products in the fashion industry that would go through a direct channel of distribution and 4 products that would go through an indirect channel of distribution. Have them give their opinion on what they feel the best method of distribution is for that product. I. Channels of Distribution A. Direct Channel B. Indirect Channel II. Distribution Strategies A. What is the best method? III. Distribution Systems A. Manufacturer B. Wholesaler C. Retailer IV. Fashion Soft-Goods Chain A. Textile segment B. Apparel segment C. Retail segment V. Financing A. The importance of planning B. Sources of assistance (Day 2) Explain the distribution systems and the three channels of distribution within the soft-goods chain. Explain that in order for merchandise to get to the customer on a timely basis, marketers must consider the distribution of goods. This includes financial planning, pricing, and methods of physically moving and storing goods. Discuss the importance of financial planning in the fashion industry. Multiple Intelligences Guide Existentialist Interpersonal Intrapersonal Kinesthetic/ Bodily Logical/ Mathematical Musical/Rhythmic Naturalist Copyright © Texas Education Agency, 2014. All rights reserved. 4 Verbal/Linguistic Visual/Spatial Application Guided Practice (Day 1) Channels of Distribution lesson (above) (Day 2) Explain the distribution systems and the three channels of distribution within the soft-goods chain. Discuss the importance of financial planning in the fashion industry. Independent Practice (Day 1) Students will write down 4 products in the fashion industry that would go through a direct channel of distribution and 4 products that would go through an indirect channel of distribution. Summary Review Ask students to answer the following questions aloud: • What are the channels of distribution? • What is a manufacturer? • What is a wholesaler? • What is a retailer? • What are the three specific segments in the soft-goods chain? • Why is planning important in finance? Evaluation Informal Assessment Teacher will observe students during assignment. Teacher will move about the classroom, providing feedback and making sure that students are on task. Formal Assessment Students will be evaluated on their Fashion Product Assignment. Enrichment Extension Have students come up with companies who distribute products to their customers in an efficient manner. Discuss the strategies these companies use to keep their customers happy. Copyright © Texas Education Agency, 2014. All rights reserved. 5 Distribution and Finance Fashion Marketing Marketing Individual Fashion Product Assignment Directions: Think of your own fashion product for distribution and write a one page plan. The plan should include: • The channels of distribution: direct or indirect? Why? • Would you manufacture your product? Why? • Would you purchase your product from a wholesaler? Why? • What retailer would sell your product? Explain why your product would be placed in the retailer you choose. • Explain what financial resources you would use. Copyright © Texas Education Agency, 2014. All rights reserved. 6 Distribution and Finance Individual Fashion Product Assignment Rubric CATEGORY Organization Quality of Information Quality of Writing Paragraph Construction Amount of Information 20 Information is very organized with wellconstructed paragraphs and subheadings. Information clearly relates to the main topic. It includes several supporting details and/or examples. Complete sentences with good variety, proper grammar, and correct spelling. All paragraphs include introductory sentence, explanations or details, and concluding sentence. All topics are addressed and all questions answered with at least 2 sentences about each. 15 10 5 or less Information is organized with wellconstructed paragraphs. Information is organized, but paragraphs are not well-constructed. The information appears to be disorganized. Information clearly relates to the main topic. It provides 1-2 supporting details and/or examples. Information clearly relates to the main topic. No details and/or examples are given. Information has little or nothing to do with the main topic. Complete sentences, correct spelling and proper grammar. Need more variety in sentence structure. Most paragraphs include introductory sentence, explanations or details, and concluding sentence. All topics are addressed and most questions answered with at least 2 sentences about each. Complete sentences with some improper grammar. Some incomplete sentences and fragments, some misspelled words and poor grammar. Paragraphing structure was not clear and sentences were not typically related within the paragraphs. One or more topics were not addressed. Paragraphs included related information but were typically not constructed well. All topics are addressed, and most questions answered with 1 sentence about each. Total Score ________ Maximum 100 Points Copyright © Texas Education Agency, 2014. All rights reserved. 7 Distribution and Finance Fashion Marketing Marketing Term Distribution and Finance Vocabulary Definition E-tailing Manufacturer Vendor Retailer Direct Chanel Distributor Indirect Channel Wholesaler Channel of Distribution Financing Copyright © Texas Education Agency, 2014. All rights reserved. 8
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