Given this scenario, which of the following, if true, would be most effective in weakening the argument for full distribution? A) Competitors of Hastings & Cap do not follow a full distribution strategy.   B) Market research indicates that most customers are more likely to purchase Hastings & C hats than the counterfeited ones.   C) The company plans to market the hats as a high-end luxury brand.   D) The company has never tried to implement exclusive distribution in the past.   E) Hastings & Cap prices its goods competitively to increase its market share.

Principles Of Marketing
17th Edition
ISBN:9780134492513
Author:Kotler, Philip, Armstrong, Gary (gary M.)
Publisher:Kotler, Philip, Armstrong, Gary (gary M.)
Chapter1: Marketing: Creating Customer Value And Engagement
Section: Chapter Questions
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Hastings & Cap is a hat company looking to reduce the number of counterfeit items produced from its designs overseas. The company is also planning to extend its product category by producing a range of high-end hats for both men and women. 

With these thoughts in mind, Hastings & Cap’s marketing managers are finalizing the best distribution strategy for its high-end product category.

The full distribution strategy would involve marketing the hats in all of the countries in which Hastings & Cap products are presently sold.

This would, of course, involve distributing the products in those countries that Governments typically endorse the rule of man and tolerate companies that routinely counterfeit brand-name products. 

Alternatively, if they choose to bypass the full distribution strategy, they would likely have toward setting up exclusive distribution arrangements with leading retailers, effectively, opting for a high-end luxury distribution strategy.

They would then also restrict distribution arrangements to vendors in those countries whose governments endorse the rule of law and most aggressively protect intellectual property rights and, correspondingly, police counterfeiters.

Given this scenario, which of the following, if true, would be most effective in weakening the argument for full distribution?

A) Competitors of Hastings & Cap do not follow a full distribution strategy.
 
B) Market research indicates that most customers are more likely to purchase Hastings & C hats than the counterfeited ones.
 
C) The company plans to market the hats as a high-end luxury brand.
 
D) The company has never tried to implement exclusive distribution in the past.
 
E) Hastings & Cap prices its goods competitively to increase its market share.

 

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