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

H, how to position the competitors in cross map.

how to position the competitors in cross map.

Advantages of the advertising, Advantages of the advertising: 1.       ...

Advantages of the advertising: 1.       It increases the sales volume: advertising increases the sales volume of the product. Hence mass production is possible. This leads, to

Amit Kumar, Assume that you are James Peterson and you have just hired a ne...

Assume that you are James Peterson and you have just hired a new management team composed of highly qualified executives from outside companies.

Explain the term service encounter, Question : (a) Explain the term se...

Question : (a) Explain the term service encounter. (b) With reference to examples of services, discuss the three levels of customer contact services. (c) One tre

Determine the employee role of dominance, Question 1: Determine the Emp...

Question 1: Determine the Employee Role of Dominance Detailed explanation on ‘Employee Role in Service Designing' Question 2: What is service differentiation?

Amazon, AMAZON internet marketing strategies.

AMAZON internet marketing strategies.

Describe the phases in the evolution of retail market, Question 1 Descr...

Question 1 Describe the phases in the evolution of retail market 2 What are the tasks handled by a project manager to effectively manage a project 3 What are the relevant

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