Using your HBS coursepack, review the following core marketing readings:
Developing and Managing Channels of Distribution
This reading identifies the importance of understanding the strategies and decisions a marketing manager will encounter in making place decisions. As you review the material in this reading, you will find it addresses the following areas of place strategy:
1. Channel Stewardship
2. Mapping the Industry Channels
3. Building and Updating the Channel Value Chain
4. Aligning and Influencing the Channel System
5. Retailing and Online Retailing
This core reading focuses on the fundamentals of “getting the price right.” It does so by introducing and exploring value pricing, which entails coming to a detailed understanding of the true economic value a firm’s product creates for a specific customer and then deciding how to divide that value between the firm (providing the firm its incentive to sell) and the customer (providing the customer an incentive to buy). After discussing the key elements and advantages of the value-pricing approach, the reading covers the concepts of price customization, consumer sensitivity to price, and the impact of price on the organization’s profitability.
Following your review, prepare responses to the following discussion question:
Why/how are place and price strategy decisions so crucial to the success of a product?
This initial post should be completed by Thursday at 11:00 p.m. EST. After you submit the initial posting, return to the forum and review the findings of your classmates. Post a meaningful comment or question (150 words minimum) to the postings of two (2) classmates.