Case
Azhar W, Malik S
INDUSTRY : ENGINEERING
AREA : Marketing
ORGANIZATION : -
LENGTH : 22
LUMS No : 04-813-90-1
PUBLICATION YEAR : 1990
KEYWORDS:
Promotion policy, distribution, incentives
DESCRIPTION:
This case deals with distribution policies at the Light Division at Philips. Almost 30% of the dealers were selling Philips light bulbs at a price lower than what Philips was charging them. Students have to assess the impact of such practices on dealer profits and the company's image.
LEARNING OBJECTIVES:
1) To provide students practice in evaluation and analysis of distribution strategy. 2) To give exposure to the students to issues of channel management including such concepts as channel design, channel revie and changes, channel conflict and relations/negotiations between channel members. 3) To provide a vehicle for analyzing pros and cons of various distribution channels, and understanding the impact of trade promotions on company's operations. 4) To give students practice in understanding the market mechanism and formulating distribution plans accordingly. 5) To show that promotional programs and distribution strategies must be consistent with each other and integrated with the rest of the marketing strategy.
SUBJECTS COVERED:
Marketing