marketing

Types of Marketing Channels: Direct- Straight from firm to consumer; to maintain direct contact with customers, or if suitable middlemen are not available, common with business products. Indirect- goes from firm through a channel to a consumer; best when consumers want convenience, middlemen may invest in inventory, middlemen can reduce credit risk.
Characteristics of Traditional and Vertical Marketing Systems: Conventional Channels- highly fragmented networks; loosely aligned manufacturers, wholesalers, retailers; have bargained aggressively over terms of sale; and otherwise, behave autonomously. Vertical Marketing Systems- professionally managed and centrally programmed (leader) networks; designed to achieve operating economies and maximum market impact; high cooperation; adding or dropping members is difficult; high dependence. Corporate Vertical Market Systems: combines stages of production and distribution under a single ownership. Administered Vertical Marketing System: coordina...