Generally, product-line managers have the following responsibilities:1.considering expansion of a given product line;2.considering candidates for deletion from the product line;3.evaluating the effects of product additions and deletions on the profitability of other items in the line; and4.allocating resources to individual products in the line on the basis of marketing strategies recommended by product managers.Decisions at the first level of product management involve the marketing mixfor an individual brand/product. These decisions are the responsibility of a brand manager (sometimes called a product manager). Decisions regarding themarketing mix for a brand are represented in the product's marketing plan. The plan for a new brand would specify price level, advertising expenditures for thecoming year, coupons, trade discounts, distribution facilities, and a five-year statement of projected sales and earnings. The plan for an existing productwould focus on any changes in the marketing strategy. Some of these changesmight include the product's target market, advertising and promotionalexpenditures, product characteristics, price level, and recommended distributionstrategyManaging the product mix for a company is very demanding and requiresconstant attention. Top management must provide accurate and timely analysis(BCG) of their company's product mix so the appropriate adjustments can bemade to the product line and individual products.
Q.2 What is a distribution channel? Explain the factors to be consideredwhile setting up a distribution channel. (10 marks)
Answer Distribution channelA path through which goods and services flow in one direction (from vendor tothe consumer), and the payments generated by them that flow in the oppositedirection (from consumer to the vendor).A marketing channel can be as short as being direct from the vendor to theconsumer or may include several interconnected intermediaries such aswholesalers, distributors, agents, retailers. Each intermediary receives the itemat one pricing point and moves it to the next higher pricing point until it reachesthe final buyer. Also called channel of distribution or marketing channel.