imm unit-07 (global distribution system)

18
07/06/10 1 By : Prof. Amit Kumar

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07/06/10 1

By :

Prof. Amit Kumar

07/06/10 2

International marketing has become a major concern for business schools to develop global strategies to lead and sustain in the much expanded and

competitive arena. Liberalization thus catalyzing market competition, poses challenge for the

managers in handling the rigors of expanding global marketplace.

Syllabus aims at providing contemporary knowledge & skills on issues of global

marketing management.

IILM-GSM

Importance of this course

Global Marketing Management

07/06/10 3

Course: Global Marketing Management

1. Framework of Global Marketing Management

2. Global Marketing Research

3. Decision Making in International Marketing

4. Foreign Market Entry & Export Marketing

5. Product Planning & Development

6. Global Pricing Strategies

7. Global Distribution System

8. Promoting Product Internationally

IILM-GSM

Global Marketing Management

07/06/10 4

IILM-GSM

Global Marketing Management Global Distribution System

07/05/10 5

Contents

• International Logistics Material Management Physical Distribution (Transportation, Warehousing,

Inventory, Packaging , ICT)• International Distribution Channel Strategies • Factors Influencing Channel Width• International Distribution Channels• International Marketing Channels

Direct Channel Indirect Channel

• Managing International Logistics• Managing Ocean Transportation

IILM-GSM

Global Marketing Management Global Distribution System

07/05/10 6

International Logistics

The word ‘logistics’ is derived from a French word ‘loger’ thatmeans the art of transport, supply, and quartering of troops.Thus, logistics was conceptually designed for use in militaryso as to ensure meticulous planning and implementation ofsupply of weapons, food , medicines and troops in the battlefield.

Conceptualization, design, and implementation of a system for direct flow of goods and services

across national borders is termed as ‘international logistics’.

IILM-GSM

Global Marketing Management Global Distribution System

07/05/10 7

International Logistics

IILM-GSM

Global Marketing Management Global Distribution System

Raw material components and other inputs

Processing / Assembly

Finished products

End Customers

Market intermediary

CO

MP

NA

Y

MaterialsManagement

PhysicalDistribution

07/05/10 8

Logistics & Value Chain Concepts

IILM-GSM

Global Marketing Management Global Distribution System

07/05/10 9

International Distribution Channel Strategies

• What is Global Marketing Research?• Breadth & Scope of Global Marketing Research

IILM-GSM

Global Marketing Management Global Distribution System

07/05/10 10

Factors Influencing Channel Width

• What is Global Marketing Research?• Breadth & Scope of Global Marketing Research

IILM-GSM

Global Marketing Management Global Distribution System

07/05/10 11

International Distribution Channels

IILM-GSM

Global Marketing Management Global Distribution System

Firm

Agent

Agent

Merchantintermediary

End user / customer

Merchantintermediary

e-channel

Internationalborder

International Marketing Channels

IILM-GSM

Global Marketing Management Global Distribution System

Indirect Direct

Agents Merchantintermediaries

Agents Merchantintermediaries

e-channelInternational

border

1 2 3 4 5 6 7

D E F GA B C

Direct Channels

IILM-GSM

Global Marketing Management Global Distribution System

Direct

Agents Merchantintermediaries

e-channelInternational

border

D E F GA B C

A. Broker/ commission agentB. Manufacturer’s agent/sales representativeC.Buying agent

D.Merchant importerE. DistributorF. WholesalerG.Retailer

07/05/10 14

Direct Channel

• What is Global Marketing Research?• Breadth & Scope of Global Marketing Research

IILM-GSM

Global Marketing Management Global Distribution System

Indirect Channels

IILM-GSM

Global Marketing Management Global Distribution System

Indirect

Agents Merchantintermediaries

Internationalborder

1 2 3 4

5 6 7

1. Broker/ commission agent2. Importer’s buying agent3. Country-controlled buying agent4. Buying office

5. Merchant exporter6. International trading companies7. Export/ trading house

07/05/10 16

Indirect Channel

• What is Global Marketing Research?• Breadth & Scope of Global Marketing Research

IILM-GSM

Global Marketing Management Global Distribution System

07/05/10 17

Managing International Logistics

• What is Global Marketing Research?• Breadth & Scope of Global Marketing Research

IILM-GSM

Global Marketing Management Global Distribution System

07/05/10 18

Managing Ocean Transportation

• What is Global Marketing Research?• Breadth & Scope of Global Marketing Research

IILM-GSM

Global Marketing Management Global Distribution System