Analysis of Therm-Eze

3) How do intermediaries add value to the products they distribute? Find an example of a distributor that adds each of the six types of utility.

* What is the unit used to measure the amount of cooling needed in summer time? CDD

| Enterprise has chosen a powerful tool for advertising, a referral source (word of mouth). By building personal connections with mechanics (who then advised their own customers to rent a car from Enterprise), the company was able to build a strong network in the industry. It earned a strong market position for the company. It has also created loyal customers, and partners. Furthermore, it resulted in lower costs and larger profits for Enterprise

This paper is intended to shine a light onto distribution channels, both direct and indirect, as well as, provide a better understanding of channel levels. It will also deal with the different channel organizations, including conventional, horizontal, vertical and multichannel marketing systems.

felt that in order to truly identify a market a company would have to go through the process of

1. Should ServiSoft cave in to the distributors, or go around them and go direct using independent reps?

I recommend that the subsidiaries should have a program that teaches them that their methods are not superior to the direct distribution. Change is hard to overcome when you have been implementing the same process for x number of years. I think that if there was some type of seminar that showed the benefits and let the subsidiaries work out the issues, or even recommend things to each other, it would be beneficial in having all subsidiaries work out their problems and differences and agree on a uniform method/ process.

This section will focus on customers’ needs, identifying collaborators and their strategic goals and identifying the competition that provides similar products.

The company sells its products through two separate channels of distribution. Each is treated as a

The stove generates electricity from a thermoelectric generator. Competitors do not offer the same features as the Starlight Stove.

Distribution strategies exist in three forms: exclusive distribution, selective distribution, and intensive distribution. Kotler and Keller (2009) define each of the distribution strategies as: exclusive distribution limits the number of intermediaries used; selective distribution depends on a limited number of intermediaries; and intensive distribution works with as many outlets as feasible. The distribution strategy of the airlines industry was not a part of its early history, but is now integral to the success of airline organizations.

Distribution: Specialized distributors that can increase awareness of target audience at a lower variable cost than generalist wholesaler; specialized stores are significant influencers of target customer’s behaviors

8. There are a couple of competitors in the local market. There are two salons that serve the local community, and these focus on the female market. There is also a basic barbershop that is affiliated with a national chain of low-end haircutters. The different customer segments are children, women and adult men. The product/markets matrix outlines how these different customer segments are served by the different companies in the market already.

By having a close relationship with distribution channels, the overall customer-service improves, leading to increased market demand and also increases the entry barrier for competitors.

For instance, Dell chose to distribute straight to the company with great success and cost savings and then later changed their plan to include selling through Wal-Mart when the time called for it. Gateway however, decided to open their own stores but didn’t sell their product from it. This led to the failure of Gateway. Poor distribution network designs can hurt customer satisfaction and increase costs hurting the profitability of the company.