Quiz 15: Advertising and Public Relations
Supply chain management for N: In today's competitive world, demand for innovative goods and services has risen at a very fast pace in recent years. Marketers need to be very flexible and responsive for developing new products as well as to change the existing products to satisfy wants of consumers. Suppliers providing material to producers constitute the upstream portion of supply chain. On the other hand, consumers who are increasingly providing valuable insights constitute the downstream portion of supply chain. Like in case of Nike, its product line known as NiD that constitute shoes, equipment and clothing. These products are made as per the specifications mentioned by customers and then transported through air, oceans, railways, or roadways. Therefore, to manage its huge supply chain and distribution network it needs to invest a significant amount of money and time. Therefore, firms like Nike must judiciously manage their supply chains in coordination with downstream and upstream firms. Upstream firms are responsible for providing inputs whereas downstream firms are responsible for delivery and after sales services of a product. Also, all the functional areas must be properly coordinated to execute an efficient supply chain management. It will lead to customer satisfaction that in turn will increase the marketing productivity and performance of the firm.
Dell is using selective distribution system for its market coverage. This system is appropriate for Dell's products and target markets because of the following reasons: • Desirable when a special effort, such as customer service from a channel member, this is important for customers • It is highly suitable to motivate retailers to provide adequate services • It is preferred to maintain particular image in the market • It offers high quality of products during this selective system
Supply chain management: Supply chain management refers to the approaches that are used to synchronize the functions of operations management, supply management, logistics management and marketing channel management. One of the main objectives of supply chain management is to produce and distribute goods and services in an appropriate quantity, to the right locations, and at the appropriate time. Activities that form supply chain management include manufacturing, sales, research, shipping, advertising, and coordination among all these activities so that an optimum level of efficiency can be achieved. Importance of supply chain management: • Effective supply chain management enables companies to provide quality customer service. It happens because the right quantity is delivered at the right time to consumers. It in turn helps in satisfying consumers. • It helps in improving the bottom line of companies, i.e., profits. It happens because effective supply chain management leads to low usage of fixed assets, like plants and transportation vehicles. Also, as the rate of delivery of the final product to consumers increases, profits improve. • Since effective supply chain management helps streamline workflow, products can also be delivered during a crisis.