ISLAMIC UNIVERSITY IN UGANDA

ARUA CAMPUS
FACULTY OF MANAGEMENT STUDIES
GROUP ONE PRESENTATION
COURES NAME:PRINCIPLES OF MARKETING
COURSE CODE : BMK 1201
PROGRAMMES: BB/BPLM/ADHSM
GROUP ONE MEMBERS
QUESTIONS 1
a) SUKUMA enterprises Ltd located in west Nile suppier
of sukuma mineral water,cakes,simka ice cream, sukuma
bread, sukuma yoghurt among others. With an aid of a
diagram describe the different channel members and/
or marketing intermiaderies through which the
company can place its product to the target market.
b) Explore the roles of the different channel members in
(a) above chosen to deal in sukuma as products and the
challenges faced by them.
Definition of channel members.
These are agents or intermidiaries who assists in the
flow of goods and services from producers to the end
user or customers.
Alternatively,it refers to set of firms and individual that
help in transferring the little of goods and services as
they move from producers to customer/consumers.
However, the following are the examples of the channel
members /intermidiaries,
Wholesaler
Retailers
Cont.
Brokers/agents
Distribution companies
Illustration showing the channel members through which
sukuma enterprises places its products to the target market

producers
Two level
Agents/
brokers
wholesaler
manufacturer retailers
Zero level
retailers
One level wholesaler
three level

consumers
Cont.
• Zero level(producer to consumer) it is called direct
marketing from producer to consumer. Its where the
producer sales his products directly to the ultimate
customer and it’s the shortest,simpliest and the
easiest channel of distribution
• Level one( producer –retailer-consumer)its where the
producer uses only one intermediary i.e. retailer to
consumer.
• Level two(producer-wholesaler-retailer-consumer)this
is traditional system where producer uses wholesaler
and retailers. They mostly operates in small scale
b)Roles played by;
a)Wholesaler
They acts as a link between producers and consumers
Purchases goods in bulky from producers and sells to
retailers in small quantities.
They carry out assembling of goods.
They do warehousing/storage of goods
Transportation of goods
Carry out grading of goods
They do financing /banking
They are risk bearers
Cont.
• They communicate market information.
b)Retailers
They act as link between wholesalers and producers
They do warehousing
Transport goods on behalf of wholesalers
Maximize customer satisfaction
Buy in bulky from wholesalers and sells in small
quantities to consumers
The advertise new products
They create and improve demand
Cont.
c) agents/brokers
They bring buyers and sellers together
They carry out negotiation
Act as representatives of manufacturers
They create time and place utility
Instruct /educate customers on some goods
They perform reasonable care and skills
They maintain accounts of wholesalers
Challenges faced by channel members
• Conflicts about prices
• Finding the right technology
• Under performing partners
• Misaligned goals
• Competition in mind sharing
• Inventory shortage
• Risks such as fire out breaks
• Channel complexity inform of transport,documentation
etc
Cont.
• Limited storage facility i.e. affects wholesaler
• Damages during transportation
• Mismatching customer and supplier demand
• Poor visibility into product profitability
• Inadequate labeling system
Reference
• Phillip Kotler,1988;marketing management
• Angel wood, 1988; implementation and control
• Indeed editorial term;2021 types of channel intermediaries
• Prachi juneja 2022 management study guide
End of presentation
Senkyu
awadifo