Network is best suited to highly differentiated products

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Reference no: EM132214378

SUPPLY CHAIN MANAGEMENT, I THUMBS UP

1. What differences in the retail environment may justify the fact that the fast-moving consumer goods supply chain in India has far more distributors than it has in the United States?

2. What types of distribution networks are typically best suited for commodity items?

3. What type of network is best suited to highly differentiated products?

4. In the future, do you see the value added by distributors decreasing, increasing, or staying about the same?

5. Why has the online channel been more successful in the com- puter hardware industry compared with the grocery industry? In the future, how valuable is the online channel likely to be in the computer hardware industry?

6. Is the online channel likely to be more beneficial in the early part or the mature part of a product’s life cycle? Why?

7. Amazon sells books, music, electronics, software, toys, and home improvement products online. In which product cate- gory does going online offer the greatest advantage com- pared with a retail store chain? In which product category does the online channel offer the smallest advantage (or a potential cost disadvantage) compared with a retail store chain? Why?

8. Why should an online seller such as Amazon build more warehouses as its sales volume grows?

9. Amazon has opened bookstores and announced the opening of convenience stores. How can these traditional retail chan- nels allow Amazon to complement its online channel effectively?

Reference no: EM132214378

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