Product Offering
- Submitted by: jmsmith73
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- Date Submitted: 10/24/2010 06:38 PM
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Introduction
International Market
Channel Strategy
According to Kotler and Keller (2007), “A marketing channel performs the work of moving goods from producers to consumers, overcoming the time, place, and possession gaps that separate goods and services from those who need or want them”. Choosing an appropriate channel strategy affects other marketing decisions. Kudler Fine Foods channel will produce a variety of wines. By using selective distribution, Kudler will sell the wines only at certain retailers, online, and at other Kudler Fine food stores. This channel objective will help in having a lower service output and give the customers a lower price. The channel will be from producer to retailer to consumer. This helps to control price cutting.
Select transportation will be used to ship the products over to different sites. The transportation mode for local shipments will be rail and truck because cost and dependability is average. For overseas shipments, sea transportation and truck transportation will be used.
The companies' channels must be managed. This helps control channel conflict, helps coordinate, develop commitment and trust.
When going abroad. Kudler Fine Foods has to make sure the distribution channel is short or the cost will be higher to the customers. The international headquarters will be at the Chile warehouse and shipped to the United States and the host country of China for distribution for China’s retailers.
Pricing Strategy
According to Kotler and Keller (2007), “many consumers use price as an indicator of quality”. “Firms choosing the objective of maximum market share believe that higher sales volume will lead to lower unit costs and higher long-run profit. With market-penetration pricing, the firm sets the lowest price, assuming the market is price sensitive. This is appropriate when the market is highly price sensitive and a low price stimulates market growth”, (Kotler and Keller, 2007).
The...
International Market
Channel Strategy
According to Kotler and Keller (2007), “A marketing channel performs the work of moving goods from producers to consumers, overcoming the time, place, and possession gaps that separate goods and services from those who need or want them”. Choosing an appropriate channel strategy affects other marketing decisions. Kudler Fine Foods channel will produce a variety of wines. By using selective distribution, Kudler will sell the wines only at certain retailers, online, and at other Kudler Fine food stores. This channel objective will help in having a lower service output and give the customers a lower price. The channel will be from producer to retailer to consumer. This helps to control price cutting.
Select transportation will be used to ship the products over to different sites. The transportation mode for local shipments will be rail and truck because cost and dependability is average. For overseas shipments, sea transportation and truck transportation will be used.
The companies' channels must be managed. This helps control channel conflict, helps coordinate, develop commitment and trust.
When going abroad. Kudler Fine Foods has to make sure the distribution channel is short or the cost will be higher to the customers. The international headquarters will be at the Chile warehouse and shipped to the United States and the host country of China for distribution for China’s retailers.
Pricing Strategy
According to Kotler and Keller (2007), “many consumers use price as an indicator of quality”. “Firms choosing the objective of maximum market share believe that higher sales volume will lead to lower unit costs and higher long-run profit. With market-penetration pricing, the firm sets the lowest price, assuming the market is price sensitive. This is appropriate when the market is highly price sensitive and a low price stimulates market growth”, (Kotler and Keller, 2007).
The...