QUESTION 4
20 MARKS
Rosenbloom (2014) argues that for technical products sold in the industrial market,
manufacturers should select distributors who carry a small rather than large array of products.
The aforementioned author further argues that with a smaller, rather than a larger, array of
products carried more attention will be paid to a particular manufacturer's product. This author
believes that the financial capacity of the potential channel member should not be
overemphasized because sometimes less financed firms are "hungrier" and more aggressive.
As a marketing channel design manager, critically discuss any FIVE (5) factors or criteria that a
firm should take into consideration when selecting a channel member.
QUESTION 5
20 MARKS
In the distribution system channel conflict comes in many forms. Some are mild, merely the
necessary friction of a competitive business environment. Some are actually positive for the
manufacturer, forcing out-of-date or uneconomic players to adapt or decline. Other conflicts,
however, can undermine the manufacturer's business model. This leads to such a deterioration
of channel economics that the threatened channel either retaliates against the manufacturer
or simply stops selling its product. The result is disintermediation, in which the manufacturer
suffers hence a channel manager should possessfull knowledge of the causes of conflicts within
the channel to avoid the negative impact that these conflicts can have on the business.
With this background critically discuss any FIVE (5) causes of conflicts among distribution
channel members.
END OF EXAMINATION PAPER
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