Supply Chain and Marketing Channel Management Flashcards

Vocabulary flashcards based on MKTG 300 lecture notes.

Distribution Channel

The path through which products or services travel from the manufacturer to the end consumer.

Power Imbalance

When one channel member exerts significant control over others due to its dominance.

Product Flow

The movement of goods from the manufacturer through the distribution channel to the end customer.

Money Flow

The movement of payments from the end customer through the distribution channel to the manufacturer.

Information Flow

The exchange of data and feedback among channel members and between the manufacturer and end customer.

Online Stores (Amazon)

A segment of Amazon's revenue involving the buying and selling of products.

Physical Stores (Amazon)

A segment of Amazon's revenue including Amazon Fresh and other physical retail locations.

Third-Party Seller Services (Amazon)

A segment of Amazon's revenue including commissions, fulfillment, shipping fees, and other services for third-party sellers.

Subscription Services (Amazon)

A segment of Amazon's revenue including Amazon Prime, digital video, audiobook, and digital music subscriptions.

Advertising Services (Amazon)

A segment of Amazon's revenue related to advertising.

AWS (Amazon Web Services)

A segment of Amazon's revenue related to cloud computing services.

Channel Alignment

When all channel members understand their ultimate goal is to create and capture value for the end consumer.

Vertically Integrated Distribution Channel

A distribution channel where one company controls multiple stages of the supply chain (e.g., Tesla).

Channel Length

The number of channel members in a particular value chain.

Direct Distribution

A channel structure with few or no intermediaries between the manufacturer and end customer.

Indirect Distribution

A longer channel structure with more members.

Channel Breadth

The number of outlets that participate in distributing the end product to the consumer.

Exclusive Distribution

A very limited number of outlets distribute the product.

Selective Distribution

A distribution strategy that falls in between exclusive and intensive distribution.

Intensive Distribution

A distribution strategy where the product is available in as many outlets as possible.

Channel Depth

The extent to which the channel is controlled via forward and/or backward integration.

Integrated Channel

A channel where the company owns firms that perform many different channel functions.

Search Attribute

An aspect of the product that can be evaluated prior to purchase and consumption.

Experience Attribute

An aspect of a product that can only be evaluated after consumption.

Credence Attribute

An attribute that cannot be evaluated, even after consuming the product.