Actividad de aprendizaje 4

Evidencia 2: Workshop “Distribution channels”

Conocer en qué consiste la selección de los canales de distribución y manejar este tema
en el idioma inglés le permite ampliar el campo de acción hacia otros países de cualquier
empresa que desee exportar un producto o servicio y con ello aumentar sus ingresos; en
caso de contar con clientes o socios de habla inglesa.

Por lo anterior y para desarrollar esta evidencia, consulte el material de formación

denominado Distribution channels y los siguientes materiales complementarios:

• Vocabulary.

• English prepositions.

Luego de estas consultas, resuelva el siguiente taller en inglés:

1. Lea cuidadosamente la siguiente conversación:

Susan: Good morning Mr. White.

Mr. White: Good morning, Ms. Susan. Can we start the meeting?
Susan: Of course, Mr. White. I have the options on the board.

Mr. White: That’s good. Remember, we need to choose the most suitable distribution
strategy for our products.

Susan: We have three strategies: Intensive, exclusive and selective. Intensive strategy
pretends to reach the largest possible number of POS (Point of Sale), but unfortunately
it’s difficult to control. That’s because we would have to deal with many intermediaries.

Mr. White: What about the exclusive strategy?

Susan: It’s different from the first one. Only it’s necessary one POS by each geographic
area, no matter if it’s retailer or wholesaler.

Mr. White: Sounds god to me. And the last one?

 Susan: Well, it’s the selective strategy. It’s the intermediate strategy between the other
ones.

Mr. White: I don’t know. I like the first one, but I don’t know how profitable it is.
Hhhhmmm, well. What do you think?

Susan: Well, I consider that the selective strategy is the best.

Mr. White: You’re right. Well done.

Susan: Thanks, Mr. White.

2. Responda T si es verdadero o F si es falso.

a. The Company product is a cake.

T ( ) F (X)

b. The meeting objective is to choose the product’s price.

T ( ) F (X)

c. Susan proposes three distribution strategies.

T (X) F ( )

d. The selective strategy pretend to reach many POS.

T ( ) F (X)

e. The exclusive strategy is difficult to control.

T ( ) F (X)

f. Mr. White chooses the intensive strategy.

T ( ) F (X)

3. Lea el siguiente texto y responda las preguntas planteadas posteriormente:

Economic aspects – understanding of cannel emergence

 Economic reasons are the foremost determinant of channel structure. The
emergence of the wide variety of intermediaries can be explained in terms of four
logically related steps in an economic process:

• Intermediaries can increase the efficiency of the process of exchange,

• They align the quantities and assortments produced with the quantities and
assortments consumed,
• They make transactions routine, and
• They facilitate the searching process.

Dependence and cooperation

Each member of a distribution channel is dependent upon the behaviour of other

channel members. Four different approaches have been used to assess
dependence levels in channel relationships:

• The ‘sales and profit’ approach, which postulates that the larger the
percentage of sales and profit contributed by the source firm, the greater the
target’s dependence on the source.

• The ‘role performance’ approach, which assesses the firm’s role performance
in carrying out its role in relation to another company down or up the channel.

• The ‘specific assets –offsetting investment’ approach, which maintains that

offsetting investments help to safeguard the target company against
opportunism by the source.

• The ‘trust’ approach, in which a long-term relationship is built on the extent to

which companies trust one another.1

1 Buhalis, D. y Laws, E. (2001). Tourismo distribution channels. Cornwall, Reino Unido: Thomson Learning.
Preguntas:

1. The raise of such many intermediaries, are explained in _D_ steps.

a. Three.
b. Two.
c. Five.
d. Four.

2. Intermediaries make:

a. Process of exchange.
b. Transactions routine.
c. New members.
d. Assortments.

3. A member of a distribution channel depends on:

a. Other channel members.

b. The retailers.
c. The wholesalers.
d. Intermediaries.

4. The ‘trust’ approach is based on:

a. The role of another company.

b. The percentage of sales.
c. How much companies trust each other.
d. Channel members.

5. The ‘role performance’ approach assesses:

a. The firm’s role performance.

b. The other channel members’ behavior.
c. Retailers.
d. Wholesalers.
4. Describa en inglés un producto de su preferencia, asígnele una marca y presente, tanto
las características como los costos de dicho producto, luego seleccione un canal y tipo
de estrategia de distribución según la clase de producto.

Shoes and bags Petite Bright®

We have the best for you in style and fashion, creativity of the highest quality for your look,
Petite Bright® Shoes and handbags handmade by industrious craftsmen providing the
shape, line, material and balance in each design.

Heel Shoes Manufacturing Process

✓ Design
✓ Fit and Pattern
✓ Section of Court
✓ Aparado
✓ Mounting
✓ Glued
✓ Finishing Section and details
✓ Packing and shipping
PRODUCT COSTS

SHOES BAGS AND PURSES

MATERIAL COST MATERIAL COST
Last Shoe $ 5,00 Template Bag $ 1,00
Template $ 1,00 Leather $ 10,00
PVC synthetic sole $ 3,00 Synthetic leather $ 7,00
Synthetic heel $ 2,00 Printed cloth $ 6,00
Platform $ 2,00 Velvet $ 8,00
Leather $ 10,00 Rhinestones $ 10,00
Synthetic Leather $ 7,00 Crystals $ 12,00
Printed Fabric $ 6,00 Sequins $ 2,00
Velvet $ 8,00 Ornaments $ 6,00
Rhinestones $ 5,00 Buckles $ 4,00
Crystals $ 6,00 Thread $ 1,00
Sequins $ 2,00 Glue $ 1,00
Ornaments $ 6,00 ink $ 1,50
Buckles $ 4,00 Nylon $ 1,00
Thread $ 1,00 Cover $ 2,00
Glue $ 1,00 Zipper $ 1,00
Ink $ 1,50 Handles $ 0,50
Nylon $ 1,00 Nozzles $ 0,70
Labor $ 2,00 Labor $ 3,00
Total $ 73,50 Total $ 74,70

Distribution Strategy:

Selective distribution: the objective is trusted in the product, for sale to a chosen number
of points of sale. The distribution will be done by selecting the points of sale looking for a
high level of specialization, brand image, dedication of special spaces, prestige and
personalized attention.
The image of the Petite Bright® brand will be presented in high-impact stores in
shopping centers and stores that allow the creation of authentic boutiques that are located
in prestigious stores in the most important cities of the country.

This is due to a selective quality policy, which must be consistent with the expected service
at regular distributors.
Distribution channel

Retail channel:

The Product Distribution Channel (Shoes and Bags) will be the retailer or retailer since
they sell the products to the final consumer. They are the last link in the distribution
channel, the one in contact with the market.

They are important because they can alter, stop or boost the marketing and
merchandising actions of manufacturers and wholesalers. They are able to influence the
sales and final results of the items they sell. They are also known as "retailers" or stores;
They can be independent or associated in shopping centers, stores or warehouses.