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    Marketing 624: Channels of Distribution Management

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    ut123
    This document discusses behavioral processes in marketing channels, including conflict, power, roles, and communication. It defines these concepts and explores how they manifest in channel relationships. Specifically, it covers the causes and effects of channel conflict, different bases of power for channel control, how roles are defined, and sources of "noise" that can interfere with channel communications. The overall message is that marketing channels involve both economic and social dynamics that must be understood and managed for effective performance.

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    Marketing 624: Channels of Distribution Management

    Uploaded by

    ut123
    49 views15 pages
    This document discusses behavioral processes in marketing channels, including conflict, power, roles, and communication. It defines these concepts and explores how they manifest in channel relationships. Specifically, it covers the causes and effects of channel conflict, different bases of power for channel control, how roles are defined, and sources of "noise" that can interfere with channel communications. The overall message is that marketing channels involve both economic and social dynamics that must be understood and managed for effective performance.

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    This document discusses behavioral processes in marketing channels, including conflict, power, roles, and communication. It defines these concepts and explores how they manifest in channel relationships. Specifically, it covers the causes and effects of channel conflict, different bases of power for channel control, how roles are defined, and sources of "noise" that can interfere with channel communications. The overall message is that marketing channels involve both economic and social dynamics that must be understood and managed for effective performance.

    Copyright:

    © All Rights Reserved
    Download as PPT, PDF, TXT or read online from Scribd
    Download as ppt, pdf, or txt
    49 views15 pages

    Marketing 624: Channels of Distribution Management

    Uploaded by

    ut123
    This document discusses behavioral processes in marketing channels, including conflict, power, roles, and communication. It defines these concepts and explores how they manifest in channel relationships. Specifically, it covers the causes and effects of channel conflict, different bases of power for channel control, how roles are defined, and sources of "noise" that can interfere with channel communications. The overall message is that marketing channels involve both economic and social dynamics that must be understood and managed for effective performance.

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    Marketing 624

    Channels of Distribution Management

    Behavioral
    Processes in
    Marketing
    Dr. Bert Rosenbloom Professor of Marketing and
    Channels
    Rauth Chair in Electronic Marketing
    Behavioral Processes in
    Marketing Channels
    Marketing Channels are not just economic
    systems

    Marketing Channels are also Social Systems

    Therefore, the same behavioral processes


    existing in all Social systems also exist in
    Marketing Channels
    Behavioral Processes in
    Marketing Channels
    The behavioral processes of most relevance to
    marketing channels are:

    Conflict

    Power

    Role
    Communications noise
    Conflict Defined

    When one Party perceives the


    behavior of another party in the
    social system to be impeding
    the attainment of its goals, a
    state of conflict exists.
    Conflict Compared to
    Competition
    Conflict Competition
    Conflict > Competition

    Conflict Competition
    Direct Object centered
    Personal Indirect
    Opponent centered Impersonal
    Causes of Channel
    Conflict
    Role Incongruities
    Resource Securities
    Perceptual Differences
    Expectational Differences
    Decision Damping Disagreements
    Goal Incompatibilities
    Communicational Difficulties
    Effects of Channel
    Conflict
    No Effect

    Negative Effect

    Positive Effect

    Multiple Effects Over Different Ranges


    Managing Channel Conflict
    (I)

    First of all must


    recognize that:
    Conflict is inherent in marketing channels
    Many causes: so conflict is pervasive
    Conflict can affect channel efficiency
    Managing Channel Conflict
    (II)
    1. Detect Channel Conflict
    Informal communication system
    Marketing Channel Audit
    Distributors advisory councils
    2. Appraise Effects of Conflict
    Negative
    Positive
    No effect
    3. Resolve Conflict
    Have a dialogue over lunch all the way to going
    to court
    Power in Marketing
    Channels

    Power Defined:
    The capacity of one channel member
    to get another channel member to do
    something that he otherwise would not
    have done.
    Bases of Power for
    Channel Control

    Reward Power 1st


    Place

    Coercive Power

    Legitimate Power

    Referent Power

    Expert Power
    Using Power in
    Marketing Channels
    Identifying available power bases

    Selecting and using appropriate bases

    What buttons are available and which ones


    should be pushed
    Role in Marketing
    Channels

    Role Defined:
    Set Prescriptions defining what the
    behavior of a position member should
    be.
    Communication in
    Marketing Channels

    Communication Defined:
    Flow of information that enables
    channel members to send and
    receive messages
    Problems Noise in Channel
    Communications

    Differing Goals

    Language Differences

    Perceptual Differences

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