Exam 3- Chapter 10 Marketing

Vertical Marketing Types- Corporate

A corporate vertical marketing system can be involved with the ownership that of the levels of distribution or production chain that is associated with a single company.

When is it best to utilize a direct channel?

A direct channel of distribution is a method of selling that allows a producer to move goods straight to a consumer without the involvement of a middleman. Businesses that aren't experienced in sales, hiring wholesalers or sales agents or using retail stores to sell their product can use direct sales channels, which affect your selling costs in a variety of ways.

Vertical marketing systems

A vertical marketing system (VMS) is one in which the main members of a distribution channel—producer, wholesaler, and retailer—work together as a unified group in order to meet consumer needs.

Vertical Marketing Types- Contractual

Contractual-This is a kind of vertical marketing system that has formal agreement involved in it that exists between various levels that of the production or it can be between the levels of distribution channel.

Roles of a channel

Marketing channels, such as distributors, wholesalers and retailers, provide your business with three kinds of functions: buying products for resale to customers, distributing products to customers and supporting sales to customers through financing and other services.

Market exposure

Marketing exposure is the amount of funds invested in a particular type of security and/or market sector or industry and usually expressed as a percentage of total portfolio holdings.

Discrepancies in quantity and assortment

DISCREPANCY OF QUANTITY--the difference between the quantity of products it is economical for a producer to make and the quantity final users or consumers normally want. DISCREPANCY OF ASSORTMENT--the difference between the lines a typical producer makes and the assortment final consumers or users want.

Vertical Marketing Types- Administered

This is a kind of VMS that has one member from the production as well as the distribution chain has more dominance and they organize the whole nature that is associated with the vertical marketing system in an informal manner.

Direct marketing

Direct marketing involves any marketing strategy that targets a demographic for the purpose of making a sale at that time

Indirect Marketing

Indirect marketing refers to marketing strategies that aim to establish a business as an expert in its field and build a following that will convert to sales over time.

When is it best to utilize intermediaries?

Intermediaries are a powerful resource that enable organizations to outsource specific business functions in order to focus more on their core competency.

Multi-channel

Multichannel marketing refers to the practice by which companies interact with customers via multiple channels, both direct and indirect, in order to sell them goods and services

International market entry risk

Shifts in currency value, protecting your business from political change, identifying and avoiding corruption

Reverse marketing channels

the backward flow or process by which used goods, that will be used in the recycling and repurposing of those goods as raw materials, come from the consumer