Distribution Strategy & Channel Conflict Management Assignment Help
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In order to maximize the sales and hence profits, the organization needs to carefully chalk out its product distribution strategy. Often the firms are not able to realize the true potential because of issues such as (Michael and Katobe, 2000)
- Not trying different channels for new and different products
- Often they are afraid of the channel conflicts arising due to multiple distribution channel use, but they need to manage the channels better
- Failing to revisit the planned distribution strategy arising due to ignorance on organization’s part and having a reactive strategy
- Most important of all, lacking the creativity and resisting any changes in the existing distribution channel and network
A proper Distribution strategy must have the following elements:
- The Products must be properly mapped to the end user in order to maximize the sales
- The channel preferences of customer must be known and should be compared with the actual availability
- Sound reasoning behind selection of new channels to increase sales
- Should have the strategy based on the competitors strategy
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References:
Michael R. and Kotabe M (2000) Japanese distribution strategy: changes and innovations. Tokyo. Business Press
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