International Distribution Policy

This set of vocabulary flashcards covers international distribution strategies, including direct and indirect channels, cultural design preferences, algorithm risk management, and retail industry structures.

Direct channel distribution

A distribution type with no intermediary (e.g., own online shop, social media, personal selling) allowing for control over prices and direct customer contact.

Indirect channel distribution

A distribution type involving intermediaries like wholesalers or retailers to achieve ubiquity and use existing networks.

Ubiquity

The ability of a product to be present everywhere, often achieved through an indirect channel distribution network.

High Individualism (Cultural Design Preference)

A web design focus on shopping usability, product uniqueness, avoiding information overload, and individual recommender systems.

Low Individualism (Cultural Design Preference)

A web design focus on communication and entertainment, featuring community relations, chat rooms, and top seller lists.

High UAI (Uncertainty Avoidance)

A cultural state where confidence-building measures like low price guarantees and secure internet connections are critical for online design.

Algorithm risk

The danger of unpredictable declines in reach or traffic on social platforms due to policy changes or algorithmic adjustments.

Native-format content

A management strategy for algorithm risk using trending sounds, specific cuts, and pacing conventions relevant to the platform.

Effort restrictiveness

A return policy dimension measuring the difficulty of returning products, such as requirements to contact the store or print reshipping labels.

Time restrictiveness

A return policy dimension regarding the send-back window; for example, it is $37$ days in the US and $9$ days in China.

Refund restrictiveness

A return policy dimension regarding the method of repayment, such as credit card/bank account versus online systems like Alipay or WeChat Pay.

High concentration (Retail Structure)

An industry structure where a few dominant retailers control large market shares, typically offering lower coordination costs but requiring strong bargaining power.

Low concentration (Retail Structure)

A fragmented market structure with many small/medium retailers, offering easier entry and better opportunities for niche positioning.

Slotting fees

Trade terms or marketing allowances often required to penetrate retail markets with high concentration.

Stema

A manufacturer of two-wheel car trailers that sells in $17$ countries through $39$ do-it-yourself stores and $100$ automotive wholesalers and retailers.