Question

I am looking for this question to be answered and it roughly has to be 2-3 pages. I have listed out 5 subheadings that need to be talked about in this paper. In this paper, we have to talk about the playstation 4 in the current market as our product.

1. Marketing Channel - Which type of marketing channel does this product use: Direct Channel, Retailer Channel, Wholesaler Channel or Agent/Broker Channel? Explain and provide support for your rationale.

2. Marketing Channel Functions – Describe the marketing channel functions performed by each intermediary in the marketing channel (describe the transactional, facilitating, and logistical functions performed by each intermediary and label each function). If retailers are included in the marketing channel, define all types of retailers used in the marketing channel. Provide your reasoning.

3. Level of Distribution - Does this product use Intensive, Selective, or Exclusive Distribution? Make sure that you understand the definition of each of these levels of distribution, and look at the distribution from the perspective of the manufacturer. Explain your reasoning.

4. Conflict - Identify an actual or potential conflict in the distribution channel. Explain the causes of the conflict and what can be done to resolve this conflict. How does this conflict affect the distribution channel? If there is no conflict, explain how the company maintains channel cooperation and how they can prevent future potential conflicts.

5. Physical Distribution - Describe the Physical Distribution for this product. Specifically define and describe all three elements of physical distribution in the marketing channel as it relates to your product.

   1. Inventory Control

   2. Warehousing and Materials-Handling

   3. Transportation

For each section above, provide detailed information to convey an understanding of the concepts applied. Use subheadings to separate each item listed above, be specific with your analysis and provide thorough rationale.

Answer 1

Answer 1.
PlayStation 4 uses both online and offline distribution channel to promote its product. The company sells its product online through Amazon, Game Stop. The company also sells its PlayStation through Walmart.
Exclusive Sony stores in nearly 120 countries of the world are also the retailers of PlayStation.
Answer 2
The reason why company uses exclusive stores for selling its product is because the company can easily demonstrate the use of the product. Customers can directly visit the store and have a live demo of how the play Station 4 operates. Physical demonstration of the product increases the likelihood of it been purchased.
Answer 3
There are different types of marketing channels by which company can sell its product. In case of PlayStation 4 the company is selling it products directly through Amazon to the customer, which comes under the category of online selling. The company also sells its product through Wall Mart which is a offline channel and is a retail channel. That third way by which company sells its PlayStation exclusive Sony stores.
The transactional facilitating and logical functions performed by intermediaries in PlayStation 4. All these functions are depends upon the type of marketing channel through which the product is being sold. If the product is being sold online the transactional facility is performed by Amazon. The facilitating and logistic function has to be performed by the warehouse of the company.
If the product is sold through the outside retailer such as Walmart, then the company has its own warehouse and stock keeping units. In this case all the functions such as the transactional ,logistical and facility functions performed by Walmart itself.
Answer 4
Retailers like Walmart are involved in this process. Company sells it product through retailers and exclusive stores of its own ,which are company owned. Online retailer such as Amazon is also involved in selling PlayStation 4.
Answer 5.
When the company sell PlayStation through retail outlets it has exclusive distribution of Sony products. In this retail outlets the company does not feature any other brand. Although the company also uses other distribution methods by which it self its PlayStation 4 such as Walmart and Amazon.
Answer 6.
The conflict in channel arises when manufacturers sell their product directly to the customers without their authorized distribution channels. This creates a conflict between the company and the distributor. Although in case of PlayStation 4 the pricing structure is such that it never leads to conflict between the different distribution channels. As the company does not have any third party distributor it has its own exclusive retail outlets.
Answer 7.
The three elements of physical distribution are material handling, inventory planning and control order processing. In the case of PlayStation 4 the company manage all these physical distribution methods.

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