Lecture Basic Marketing: A global managerial approach - Chapter 12: Logistics and distribution

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In this chapter you will learn: Understand why physical distribution (logistics) is such an important part of place and strategic market planning, understand why the physical distribution customer service level is a marketing strategy variable. understand the physical distribution concept and why it requires coordination of storing,...

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Nội dung Text: Lecture Basic Marketing: A global managerial approach - Chapter 12: Logistics and distribution

Chapter 12: Logistics and Distribution For use only with Shapiro, Wong, Perreault, and McCarthy text Copyright © 2002 McGraw-Hill Ryerson Limited
Understanding Physical Distribution Total Cost of PD Inventory Cost Costs ($) Lost Sales Transporting Cost 0 0 90% Customer Service Level Exhibit 121 122 For use only with Shapiro, Wong, Perreault, and McCarthy text Copyright © 2002 McGraw-Hill Ryerson Limited
Coordinating Logistics Activities Sharing and Shifting ???? Reducing Conflict ???? ???? JIT ???? Chain of Supply ???? Better Information-EDI and Internet 123 For use only with Shapiro, Wong, Perreault, and McCarthy text Copyright © 2002 McGraw-Hill Ryerson Limited
The Transporting Function Truck Rail Modes of Transportation Air Pipeline Water 124 For use only with Shapiro, Wong, Perreault, and McCarthy text Copyright © 2002 McGraw-Hill Ryerson Limited
The Storing Function Price Stability Flexibility Costs Specialized Function 125 For use only with Shapiro, Wong, Perreault, and McCarthy text Copyright © 2002 McGraw-Hill Ryerson Limited
Comparing Private and Public Warehouses Type of warehouse Characteristics Private Public Fixed Investment Very high No fixed investment High if volume is low Unit Cost Very low if volume is Low very high Control High Low managerial control Adequacy Highly adequate May not be convenient Flexibility Low High Exhibit 126 126 For use only with Shapiro, Wong, Perreault, and McCarthy text Copyright © 2002 McGraw-Hill Ryerson Limited