Chapter 13 Review PDF

1 Iyania Messinga Professor Holmes MK341A 02 November 2023 Chapter 13 Review Supply Chain Management (SCM) is the coordination of all the activities involved with the flow and transformation of supplies, products, and information throughout the supply chain to the ultimate consumer. SCM should star...

1 Iyania Messinga Professor Holmes MK341A 02 November 2023 Chapter 13 Review Supply Chain Management (SCM) is the coordination of all the activities involved with the flow and transformation of supplies, products, and information throughout the supply chain to the ultimate consumer. SCM should start with a focus on the customer and their satisfaction. To do this, buyers, sellers, marketing intermediaries, and facilitating agencies must work together to create a cooperative relationship. Technology such as blockchain and AI have improved SCM capabilities, allowing for more efficient data collection and analytics. This helps organizations within the supply chain to track and record product and component movements from sourcing, processing, and storage, to the expiration date and ultimate purchase by the consumer. Marketing channels are key to the supply chain, connecting producers and customers. Their goal is to make products available at the right time, in the right place, and in the right quantities to ensure customer satisfaction. Marketing intermediaries serve as middlemen, connecting producers to other intermediaries or to the ultimate customers. They facilitate customer relationships through distribution activities and by maintaining databases and information systems. A marketing channel is a group of people and organizations that direct the flow of products from producers to customers within the supply chain. It is also known as a channel of 2 distribution or distribution channel. Its goal is to make products available at the right time, place, and quantity to maximize customer satisfaction. Marketing intermediaries, or middlemen, serve as the link between producers and ultimate consumers through contractual arrangements or the purchase and resale of products. They also help manage customer relationships through distribution activities and maintaining databases and information systems. Marketing channels are an important component of the marketing mix because they determine a product's market presence and accessibility, as well as entail long-term commitments among a variety of firms. Additionally, marketing channels create utility in the form of time, place, possession, and form and also facilitate exchange efficiencies by reducing the costs of exchanges by performing certain services or functions. In summary, there are two types of marketing channels: long and short. Long channels involve several intermediaries that specialize in certain elements of the production and distribution process, resulting in added value to customers and cost savings. Short channels involve direct selling from manufacturer to retailer or consumer, and are common for products with low cost per unit and little or no selling effort. Businesses have two main options for distributing their products: industrial distributors and manufacturers' agents. Industrial distributors carry standardized items and are most effective when a product has broad market appeal, is easily stocked and serviced, and is sold in small quantities. Manufacturers' agents are independent businesspeople who sell complementary products of several producers in assigned territories and are compensated through commissions. Firms must also consider customer characteristics and product attributes when selecting an appropriate marketing channel. Business customers prefer to deal directly with producers and buy in large quantities, while consumers 3 generally buy from retailers in small quantities and do not mind limited customer service. For complex and expensive products, short channels are often preferred, while less-expensive and standardized products with long shelf lives can go through longer channels. Additionally, strategic channel alliances and multichannel distribution through digital platforms are also available. In a highly competitive market, it is important for a company to maintain low costs in order to stay competitive and offer lower prices. Environmental factors such as economic conditions, technology, and government regulations can affect channel selection, while characteristics of intermediaries can also be taken into consideration. Intensive distribution is used for products with high replacement rates, while selective distribution is used when customer service is important. Exclusive distribution is used for products that are purchased infrequently, consumed over a long period of time, or require a high level of customer service. Supply chains can be a source of competitive advantage and a strong market orientation to achieve desired objectives. Successful supply chains focus on competitive priorities such as speed, quality, cost, and flexibility. Channel members hold certain expectations of each other, so partnerships and cooperation are key for effective supply chain management. Channel conflict can occur due to competing products, misunderstanding of roles, or poor communication. To overcome this, clear roles and strong leadership are necessary. Channel integration, either vertically or horizontally, can be achieved by combining two or more stages of the marketing chain under one management. This can help reduce costs and increase coordination. 4 Works Cited Dolor, L.I. Lorem ipsum dolor sit amet, consectetuer adipiscing elit, 1998. Print. Dolor, L.I. Lorem ipsum dolor sit amet, consectetuer adipiscing elit, sed diam nonummy nibh. New York: Columbia UP, 1998. Print. Doe, R. John. Lorem ipsum dolor sit amet, consectetuer adipiscing elit, sed diam nonummy nibh, 1998. Print.