place

Question 1

channels

Answer 1

A set of interdependent organisations involved in the process of making a product or service available to users

Question 2

Why use intermediaries

Answer 2

Facilitate mass distribution through their:
– Contacts
– Experience
– Specialisation
– Scale of operations
 Intermediaries reduce the number of channel transactions

Question 3

Channel functions

Answer 3

 Collecting marketing information
 Promotion
 Contact with customers
 Matching the product with the buyer(s)
  Negotiation
 Physical distribution
 Financing the exchange 
 Risk taking