chapter 11.3 Flashcards
(31 cards)
activities in getting products to the end user
place
businesses, people, and activities involved in turning raw materials into products and delivering them to end users
supply chain
the path that goods take through the supply chain
channel of distribution
a path directly from a manufacturer to end users without using intermediaries
direct channel
uses intermediaries to get the product from the manufacturer to the end users
indirect channel
businesses that creates goods and services
producers
Natural resources (raw materials), agricultural goods, finished goods
three types of products that are produced
businesses or people that take natural resources from the land
extractors
raise crops and livestock that are sold to end users
farmers
use supplies from other producers to make products
manufacturers
people and businesses between manufacturers/producers and end users
intermediaries (channel members)
sales and marketing activities for the business
transactional function
physically moving products from the manufacturers to distributors, retailers, or end users
logistics function
selling product to end users
facilitating function
purchases large amounts of goods directly from manufacturers ; distributor
wholesaler
buy products from wholesaler or directly from producers and sells them to consumers for profit
retailers
sells directly to consumers in ways that do not involve a physical store location
nonstore retailer
retailers that sell products through websites
e-tailers
sell products through both brick-and-mortar stores and online sites
multi-channel retailers
earns profits by providing consumers with services that meet their needs and wants
service business
provides labor based on specialized knowledge and skills
trade industry
gives end user possession of goods
distribution
the process of separating a large quantity of goods into smaller quantities for resale
bulk-breaking
a company that organizes shipments
freight forwarder
