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ny. All rights reserved.The Nature of Wholesaling? Wholesaling– Transactions in which products are bought for resale, for making other products, or for general business operations? Wholesaler– An individual or anization that facilitates and expedites wholesale transactions? Handles the physical distribution of goods? Furnishes channel information to facilitate and manage the supply channel5Copyright 169。Part SixDistribution Decisions16 Wholesaling and Physical DistributionObjectives1. To understand the nature of wholesaling in the marketing channel2. To explain wholesalers’ functions3. To understand how wholesalers are classified4. To recognize how physical distribution activities are integrated into marketing channels and overall marketing strategies2Copyright 169。 Houghton Mifflin Company. All rights reserved.6Copyright 169。 Houghton Mifflin Company. All rights reserved.Types of Merchant WholesalersFIGURE 10Copyright 169。 Houghton Mifflin Company. All rights reserved.14Copyright 169。 Houghton Mifflin Company. All rights reserved.The Nature of Physical Distribution (cont’d)? Physical Distribution Objectives– Meetings standards of customer service for? Timeliness of order fulfillment? Accuracy of order fulfillment– Reducing total distribution costs? Inventory levels against warehousing costs? Materials costs versus transportation costs? Distribution costs against customer service standards? Overall goal is to achieve the lowest total distribution cost patible with the firm’s customer service objectives.– Reducing cycle (process pletion) time? Faster processes for increased customer service18Copyright 169。 Houghton Mifflin Company. All rights reserved.Functions of Physical Distribution (cont’d)? Warehousing– The design and operation of facilities for storing and moving goods? Enables pensation for dissimilar production and consumption rates? Helps stabilize prices and availability of seasonal items– Functions? Receiving, identifying, sorting, dispatching to storage, holding goods, recalling and assembling, and dispatching shipments22Copyright 169。 Houghton Mifflin Company. All rights reserved.26Copyright 169。 Houghton Mifflin Company. All rights reserved.After reviewing this chapter you should:? Understand the nature of wholesaling in the marketing channel.? Know about wholesalers39。 一月 21一月 21Thursday, January 21, 2