DISTRIBUTION MANAGEMENT (prelims)

place distribution

ensuring availability of the product in the right quantity, at the right time and right place

distribution management

management of all activities movement and coordination of supply and demand in the creation of time and place utility in goods

distribution planning

systematic decision making regarding the physical transfer of goods and services from manufacturer to final user

transportation, inventory management, customer transactions

functions of distribution planning

transportation

the way on how to transfer the finished goods from the producer/manufacturer to the ultimate buyer/consumer

inventory management

process on keeping the product safe and maintaining its stocks to avoid shortages of supply

customer transactions

describes follow ups on customers including the feedback and satisfactory level after buying the product

distribution channel

medium by which goods and services are made available to the consumers for use or consumption

marketing distribution channel

can perform functions like conducting market research, undertaking product and service promotion

channel of distribution

made up of people or organizations involved in the distribution process

channel members

may either e-manufacturers, service providers, wholesalers, retailers

middlemen

act as go-between the producer and consumer

manufacturers

makers or producers of a final product

service providers

who provide intangibles product to gain satisfaction from the customers

wholesalers

engaged in the activity of selling products to retailers, organizational users or other wholesalers and selling products for resale

retailers

selling goods in small quantity directly to the consumer

marketing specialist

who is expert in the field of marketing

consumers

final and ultimate user of the product

direct channel of distribution

transfer or movement of goods and services from manufacturer to final user or customer without the invention of independent middlemen

indirect channel of distribution

transfer or movement of goods from manufacturer to independent intermediaries to customers

exclusive distribution

limited number of middleman used in a geographic area

selective distribution

organizing a moderate number of wholesalers or retailers

intensive distribution

organizing many middlemen that are used to obtain widespread market coverage

dual channels of distribution

combination of the above to appeal to different market segments by selling through two or more different channels

physical distribution

broad range of activities primarily concerned with the efficient movement

customer service

ability of the organization to satisfy the customer to its maximum level

shipping

ability to transfer a durable product from one location to another

warehousing

ability to properly store the raw materials, semi-processed goods

inventory control

ability to provide sufficient supply of raw materials at the right quantity, time, and quality

packaging

ability to make the product presentable

receiving materials handling

ability to properly manage the materials for the final production

transportation

ability of the organization to transport the available goods into the customer custody

raiilroads

carry heavy, bulky items that are low in value over long distances

motor carriers

transport small shipments over short distances or in a nearby town

waterways

move goods which are low in value but high bulk freight on barges via inland rivers

pipelines

continuous movement of liquids, gases, and semi-liquid

airways

fastest, most expensive form for perishable and emergency goods

govt parcel post, private parcel, express fedex, lbc

kinds of services companies

govt parcel post

documents sent in the custody of the local or national level to avoid loss and delay of delivery

containerization

placing goods in sturdy containers that can be loaded safely on trains, trucks, ships

freight forwarding

specialized firms consolidate small and distinct shipments

common carriers

transport the good of any firm or individual in their services to properly transfer the goods

contract carriers

provide one or a few shippers and specific goods with transportation services based on individual even in a group of agreement

exempt carriers

excused from legality and must only comply with safety requirement

private carriers

shippers used their own facilities, subject to safety rules and regulations from the local or national regulations

inventory management

provide continuous flow of goods and to match the quantity of goods kept in proper inventory as closely as possible with sales demand

just in time

• ordering more frequently and in lower quantity of raw materials even the semi-processed goods

• quick response inventory system

electronic data interchange

computer linkups between suppliers and their manufacturers and wholesalers to increase sales through its timely monitoring of available stocks

private warehouse

owned, managed and operated by firms that store and distribute their own products

public warehouse

provide storage of the inventory and related physical distribution services to any interested firm or individual on a rental basis

bonded warehousing

where imported or taxable merchandise of the org are stored and can be released for sale only after the appropriate taxes are paid

field warehousing

where receipt is issued by a public warehouse for goods or tangible products

manufacturer wholesaling

the manufacturer control wholesaling which performs all the functions

merchant wholesaling

wholesaler controls wholesaling such as buying in bulk of units

agents and brokers

the manufacturer owns the products and let them sell the property and get the commission

independent retailer

operates one outlet because of limited resources

retail chain

involves common ownership of multiple outlets through its dealership

retail franchising

contractual arrangement between a franchisor and a retail franchisee

leased department

department in retail store that is rented to an outside party

consumer cooperative

retail firm owned and managed by consumer members who invest and share profits

convenience store

food store that is located along passerby with a long hour and products are needed mostly by the consumer but on limited items

conventional supermarket

food store with a wide range of items and related products with affordable prices, one stop grocery shopping

superstore

sells food and non food items like office supplies, beverages

combination store

combines food, grocery, and general merchandise sales and enables the retailer to operate efficiently

specialty store

provides one service line of goods

variety store

wide and variety of assorted inexpensive and popularly priced merch

department store

sells general line of apparel, linens, furnitures

retail catalogue showroom

customer shop at a warehouse type store