Channel management in rural market, Marketing Management

Assignment Help:

Channel management in rural market:

In rural distribution we need relatively longer chain distribution involving multiple channels as we have widely scattered markets. Multiple channels lead to higher costs of operating a complex dealer network and we also have to solve management problems of the complex channels. Then again the marketer and the middle man in the distribution do not enjoy adequate banking and credit facilities. Banking and credit is the lifeblood of the commerce. Organizing marketing channels is the second part of the distribution task. This too is beset with many unique problems in the rural context.

Problem in the organizing marketing channels:

Multiple tiers add to the costs: the distribution chain in the rural context usually requires more tiers, compared with the urban distribution chain. The distance between the production points and the rural market, and the scattered location of the consumers make it necessary. At the minimum, the distribution chain in the rural context needs their tiers, the village shopkeeper, the mandi -level distributer, and the wholes or stockes or C and F agent in the town.

Non - availability of dealers: in addition, there is the problem of non -availibility of the appropriate dealers. Firms fins that availability of dealers is limited and the scope for appointing fresh or exclusive dealers of the company is equally limited in view of the low demand and non -availability of the suitable candidates.

Poor viability of the outlets: a good number of retail outlets in the rural market suffer from poor viability. Familier paradoxes in rural distribution and on the other, the retail outlets find that the business is non -availability to them.

Inadequate banking and credit facilities: distribution in the rural markets is also handicapped due to the lack of adequate banking and credit facilities. It is estimated that there is only one bank branch for every 50 villages. Rural outlets need banking support for three important purposes:

a.       For remittances to principals and to get replenishment of stocks.

b.      For supplies "through bank" (retaining documents through bank).

c.       For securing credit.


Related Discussions:- Channel management in rural market

Explain the purpose of internal marketing, Question: (a) Explain the p...

Question: (a) Explain the purpose of internal marketing. (b) Identify the three levels organizational culture and discuss the importance organizational culture for successf

Advertising management, Advertising management: advertising management inv...

Advertising management: advertising management involves the major decisions in the management of the advertising. Broadly it includes the following activities: 1.       Settin

What is residual or affordable method, Q. What is Residual or Affordable Me...

Q. What is Residual or Affordable Method? Affordable Method: - This method is as well known as all you can afford, Residual Method, Available-fund-Approach. As the company do

Advertising and advertising frequency, Adver tising Advertising ad...

Adver tising Advertising added any printed or broadcast message sent and paid for by a recognized organization to a goal market via television, radio, newspapers, magazine

ENVIROMENTAL FACTORS, WHAT ENVIROMENTAL FACTORS AFFECT SONYS PERFORMANCE

WHAT ENVIROMENTAL FACTORS AFFECT SONYS PERFORMANCE

Presentation on event planning group, The Company President has asked your ...

The Company President has asked your 'event planning group' to prepare a report and presentation on a possible 4 day 'get-away' for the company's TOP GUN sales leaders as of Decemb

Market segmentation, Market Segmentation Market Segmentation: "Divid...

Market Segmentation Market Segmentation: "Dividing a market into separate groups with different needs, characteristics, or behaviour who may require separate products or mar

Explain factors in a company''s macroenvironment, Question 1: Just as i...

Question 1: Just as it is a mistake for marketers to consider Mauritius as a homogenous group of customers with the same values, culture and lifestyle, it is also a mistake for

Email marketing are really work ?, email marketing are really work ? #. dim...

email marketing are really work ? #. dimitapapers.com

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd