Dell Distribution Network I. Direct sales model Dell current distribution network is direct sales model‚ this online sale refer to the fact that Dell does not use the retails channel‚ but sells its personal computers (PCs) directly to customers through its website www.dell.com. Dell does not make sales through any integrators or resellers‚ nor does it utilize any channel service profit margins. Sales are made by the collaborative efforts of the Dell’s task force and by means of advertisement. Customers
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perform a distribution function. The distribution function is vital to the economic well-being of society because it provides the goods and services desired by the consumer. Economists often describe the value of distribution in terms of ownership‚ place‚ and time utility. The marketer contributes to the product’s value by getting it to the right place at the time the consumer wants to buy it and by providing the mechanism for transferring ownership. Firms that do not perform the distribution function
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Chapter Chapter Systems and Transportation 22 Services Physical Distribution • Section 22.1 Transportation Systems and Services • Section 22.2 Inventory Storage Key Terms physical distribution transportation common carriers contract carriers private carriers exempt carriers ton-mile carload freight forwarders Transportation Systems and Services Objectives Describe the nature and scope of physical distribution Identify transportation systems and services that move products from manufacturers to
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Physical distribution is a term used to describe the methods and means by which a product or a group of products are physically transferred‚ or distributed‚ from their point of production to the point at which they are made available to the final customer.(Rushton at el 2010) In other words is the set of activities concerned with efficient movement of finished goods from the end of the production operation to the consumer. Physical distribution takes place within numerous wholesaling and retailing
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Physical Distribution Freight transportation‚ warehousing and distribution‚ supply chain solutions - they cover it all. That’s why they are the world’s largest logistics specialist. Freight transportation A logistics partner big enough to deliver freight of any kind‚ to any place via air‚ ocean‚ road or rail‚ but capable of giving its customers the personal attention they need. Air freight services Ocean freight services Road and rail freight services Warehousing and distribution Warehousing
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This rapid success of the Dell Computer Corporation has interested business analysts the world over. The paper from the Harvard Business School is an analysis of the meteoric rise of this company until 1994. It delves into the factors that made the company a success and the kind of strategic decisions that the management of the company needed to make at various junctures. One such strategic decision that the management made was to shift from its existing "Direct Made to Order" business model to
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service. E. pool car service. 2. Air express companies place many small packages into specially designed cylinders that conform to the interior dimensions of a cargo airplane. This practice protects the smaller packages and helps to reduce distribution costs. The air express companies are practicing: A. Containerization. B. Piggybacking. C. Freight forwarding. D. Cylinderization. E. None of the above. 3. A major benefit of _____ is that it protects the products and simplifies handling
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Physical Distribution Management Part of logistics management‚ physical distribution is concerned with the transporting of merchandise‚ raw materials‚ or by-products‚ such as hazardous waste‚ from the source to the customer. A manager of physical distribution must also assess and control the cost of transporting these goods and materials‚ as well as to determine the most efficient way to store them‚ which usually involves some form of warehousing. Hence‚ physical distribution (PD) is concerned with inventory
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Executive Summary. Channels of distribution are critical to the success of a manufacturer. A well designed channel creates time‚ place and ownership utility for the consumer and can augment the manufacturer’s product. Distribution channels may move product directly from the manufacturer to the consumer‚ or make use of intermediaries between the manufacturer and the consumer. This report consists of two parts: Part 1 explains some of the major concepts relating to distribution channels‚ and Part 2 relates
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Revision of DTM for chapter 1 & 2 Function of physical distribution management and distribution channels 1) Definition of physical distribution management – Used in manufacturing and commerce to describe the broad range of activities concerned w/ the efficient movement of finished products from end of production line to consumer. * Emphasizes the flow of materials from the point of manufacture industrial user * Implies the control of the flow End consumers Products supply > Warehousing
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