Discuss the issues that influence channel strategy. When determining marketing channel strategy, the channel manager must determine what market, product, and producer factors will influence the choice of channel. The manager must also determine the appropriate level of distribution intensity. Intensive distribution is distribution aimed at maximum market coverage. Selective distribution is achieved by screening dealers to eliminate all but a few in any single area. The most restrictive form of market coverage is exclusive distribution, which entails only one or a few dealers within a given area.
1. Decide which distribution intensity level-intensive, selective, or exclusive-is used for each of the following products, and explain why: Piaget watches, Land Rover sport-utility vehicles, M&Ms, special edition Barbie dolls, Crest toothpaste
2. Now that you have a basic channel structure for Scoops (from question 3.3), form a team of three to four students and list the market, product, and producer factors that will affect your final channel structure.
