DISTRIBUTION MANAGEMENT (COURSE SYLLABUS)

- Faculty: Pankaj Priya -

-
July 2010

1.0 COURSE INTRODUCTION AND OBJECTIVE

The function of Distribution is definitely the most visible activity of any undertaking organized to reach its
products & offerings to the users in a right manner make it accessible where users need it conveniently
and whenever required. With competition getting more & more fierce endowing the users with variety of
choices and offerings Distribution is assuming focus as it represents the last frontier of an organization’s
efforts till then and often termed ‘Link’ to the users.

The distribution function is one of the four Ps of the marketing mix, that provides essential services to end-
customers. The distribution channel is not only a channel through which the firm reaches its end market.
Channel members are also company’s customers with their own needs and expectations. These
companies often distribute not only the firm’s products but also competitors’ products. Therefore, channel
members are conduit, customer, and competitor rolled into one, and their motivations and objectives are
often not aligned with those of the firm. Selecting and managing the channel is the focus of this course.
The objective of the course is to inculcate the ability to develop, implement, critically evaluate, and hone
the “go to market” strategy for a firm.

1.1 Course Learning Objective

To instill in participants an appreciation of various aspects involved in managing Distribution functions for
enhancing their managerial perspectives & user centric contributions by proper understanding of the
subject.

2.0 PEDAGOGY
The course employs a balanced mix of lectures/class discussions and case studies/projects. Class
lectures and discussions provide an exposition of key concepts, and are supported by current marketing
practices.

2.0.1 Lectures to introduce theoretical Concepts.

2.0.2 Group Channel Audit Project:

You will be required to perform an audit of a specific firm's existing distribution channel as part of the
course requirements. Your audit will count for 30% of your final course grade. This audit will consist of a
report describing the current state of the channel (its structure, members, allocation of channel functions
and flows, ability to meet target customer segments' demands for service outputs, gap analysis, and
power and conflict characteristics), as well as suggestions for improvement of the channel design and
management. You will be introduced to templates and analytic tools over the course that will equip you to
do this real-world analysis. You are responsible for finding a firm whose distribution channel you wish to
study. You should do your best to use both primary (e.g., personal interview) and secondary (e.g., library
research) data to perform your analyses. Your audit should include bibliographic references and citations
to any secondary sources you use (business press articles, journals, books, etc.) as well as mentioning
the names, titles, and companies of any people you interview for the audit. You will be graded on the
quality of your analysis and recommendations and on your ability to apply the analytic concepts from class
to your chosen distribution channel situation. The report should be not more than 2500 words long,
plus no more than 10 pages of exhibits.

2.0.3 Assignments / activities relevant to the Subject to be prepared by the students on various assigned
topics to make them gain a practical insight of how the function is practiced in different areas.

3.0 COURSE REQUIREMENTS

Students must come prepared to the class by going through the materials specified against each topic
prior to the session on that topic. It is also expected that students are aware of the basics of distribution
management covered in marketing management course.

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4.0 CLASS PARTICIPATION

Each student is expected to be present in every session and contribute to class discussion.

5.0 QUIZZES

Three quizzes will be held during the term as per the session plan.

6.0 END TERM EXAMINATION

The exam paper will consist of a case study and conceptual questions.

7.0 EVALUATION

Students will be evaluated on the basis of case analysis, project, class tests, class participation, and end-
term exam. The weightings given to each of these units is listed below:

Basis of Evaluation
Project 15%
Quizzes (Best Two) 20%
Mid-term Exam 20%
End Term Exam 40%
Class participation 05%

Please note that any student who will not take the quizzes or make presentation of the project on
the scheduled day/time will not be awarded any marks for that activity.

Session Plan

Coverage Plan (Figures in the bracket represent the proposed sessions of coverage)
1. Understandings (1& 2)
• Distribution
• Role & Importance
• Value Generations
• Marketing Channels
• Levels
• Customer Service Goals

2. The Channel Participants (3 & 4)

• Major Participants in the distribution Channel
• Why shift distribution tasks to intermediaries?
• Distribution Tasks Performed by Retailers

3. The Environment of Distribution Channels (5 & 6)

• The Environment
• The Economic Environment
• The Competitive Environment
• The Socio-cultural Environment
• The Technological Environment
• The Legal Environment
• Legal Issues in Channel Management

4. Behavioral Processes in Distribution Channels (7 & 8)

• Marketing Channel as Social System

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 • Behavioral Processes
• How Conflict Emerges
• Causes of Channel Conflict
• Conflict & Channel Efficiency

5. Developing the Distribution Channel (9 & 10)

• Marketing Channel Strategy
• Distribution Decisions
• Channel Strategy as Overall Corporate Objective
• Channel Strategy & the Marketing Mix

6. Designing the Marketing Distribution (11 & 12)

• Channel Design
• Who Engages in Channel Design?
• Channel Design Paradigm
• When to Make a Channel
Design Decision

7. Target Markets and Channel Design Strategy (13)

• Market Variables
• Framework for Market Analysis
• Market Geography
• Market Density & Channel Strategy
• Market Behavior

8. Managing the Distribution Channel (14 & 15)

• Channel Management
• Channel Management versus
Channel Design
• Motivating Channel Members
• Channel Member
Needs & Problems

9. Project Presentations (16)

End Term

Text Book
Suggested Text Book, Marketing Channels – A Management View,Bert Rossenbloom 7th edition,
Cenage Publishers, New Delhi

Other Recommended Referrals

• Marketing Channels (Louis W Stern; Adel I Ansari & A T Coughlan)
• Global Marketing Strategies, J. Hennessey, Houghton Mifflin Company
• Marketing Logistics by Poorva Kansal
• Marketing Management (Philip Kotler) Pearson
• Marketing Management (Rajan Saxena)