1.- How does physical distribution differ from digital distribution? Give an example of each type of distribution.
2.- Describe the following: a) distribution channels, b) logistics, and c) supply chain management. What are the common functions they all accomplish? What are the main differences?
3.-Assuming you are in charge of distribution at a big company with an extended product portfolio in a large city like Dallas, and you are responsible for launching a brand extension, how would you set a distribution system? If you were to launch a product that is new to the world and new for your company, what distribution system would you choose?
4.Identify two franchise systems, one expensive and another inexpensive (you might find them in franchise.org, or whichfranchise.com). What is the range of fee structures for expensive franchise systems versus the fee structures for inexpensive franchise systems? Why do you suppose they’re so different? Which system would you prefer to use, and why?
Distribution
How does physical distribution differ from digital distribution? Give an example of each type of distribution.
Physical distribution is the series of activities related to the supply and demand of a finished product from the assembly store to the retailers. The physical distribution accounts for channels like wholesale and retail. It includes essential l areas such as client service, packaging, order process, inventory, materials, transportation, and supply. For instance, a business providing custom clothes may use air freight to ship the finished products to their customers.
Digital distribution is a cluster of activities that involves downloading digital content from the internet to the end-user, such as ebooks, audio, PDFs, games, pictures, and video. Digital distribution takes place in a digital platform that allows the live stream of the digital content or allows the content to be transferred fully. For example, the stream is a digital platform that enables users to access and download a game to their PC
Describe the following: a) distribution channels, b) logistics, and c) supply chain management. What are the common functions they all accomplish? What are the main differences?
Distribution channel is a chain of firms interconnected in their desire to provide valid means of flooding the market with their products and creating a conducive enviroments for buyers to purchase their goods in a smooth manner while accruing maximum profits.
Supply chain management collaborates and interacts between firms to meet the suppliers, customers, and other stakeholders’ needs to boost efficiency while producing valuable products.
Logistics is a principle embedded in the supply chain related to planning, adopting, implementing, and controlling the smooth forward and reversing the flow of goods and services in storage about information from the assembly point up to the wholesaler and retailer meet the customer’s requirements.
All these facets work collaboratively to ensure efficient and effective flow of information, goods, and services between the point of origin to the end of consumption to meet the customers’ preferences and requirements. Although these three concepts have the same similarities, they are different terms with different meanings. Logistics is part of the supply chain process that refers to the transportation, storage, flow of information, goods, and services with the supply chain. At the same time, the distribution channels are platforms that allow transfer of finished goods and services from the assembly point to the customer as efficiently and profitably as possible. On the other hand, supply chain management encompasses multiple processes and manages the overall movement, both inbound and outbound, to achieve a competitive advantage.
Assuming you are in charge of distribution at a big company with an extended product portfolio in a large city like Dallas, and you are responsible for launching a brand extension, how would you set a distribution system? If you were to launch a product that is new to the world and new for your company, what distribution system would you choose?
The first cause of action is to determine the most preferred method of purchase in the locality, in-store or online shopping. Secondly, I will identify a competent team of intermediaries such as distributors, wholesalers, and value-added resellers. Thirdly, I would assign all the intermediaries to have a distribution partner who aligns with the strength of their distribution channel. Lastly, I will choose an ideal business strategy such as exclusive, selective, or extensive.
When launching a new product, the best distribution system I will choose will align with my product type. For instance, if I were selling a high-end luxury product, I would utilize an exclusive or selective distribution strategy. On the other hand, I would employ an extensive distribution strategy if my product were a staple product.
Identify two franchise systems, one expensive and another inexpensive (you might find them in franchise.org, or whichfranchise.com). What is the range of fee structures for expensive franchise systems versus the fee structures for inexpensive franchise systems? Why do you suppose they’re so different? Which system would you prefer to use, and why?
Franchising systems offer product franchising and business format franchising. In product franchising, franchises sell the franchise products without adopting their methods of conducting business. Contrastingly business format franchising occurs when the franchise packages the trademark, product, and service and the process of running and operation to another company.
Like the defines, the range of structure for expensive and inexpensive businesses varies. Business such as Dunkin Donuts requires $230,000 to $2million, while companies like Senior Helpers need $109 00 to $151,000, with a capital cost of $109,000. The main difference between the fee structures is the status of their brand name, which reflects a certain level of quality and standardization. Fee structures also vary from one industry to another.
My most preferred system is the business format. This is primarily because this system guides and provides strategies, methods, and techniques for building the franchise from the ground up, which is pertinent especially for start-ups
