In: Economics
Apple has used multiple channels to distribute its range of Airpod headphones in the past. Given that marketers seek to exceed customer service expectations at a price that ensures profits and positive cash flow, what distribution related trade-offs do you think the company should consider when evaluating its current distribution strategy?
Implementing the most efficient distribution method is the key objective of every competitive company. Like Apple Company, which produce costly luxury items very costly maintain a high level strategy in the market. There are two major distribution system; direct and indirect. Apple Company used direct distribution to their customers. They will not allow any other mobile companies to distribute their products. Here the manufactures directly sell and dens the products to the customer. This is an effective policy of the company with the clients which is moderately knowledgeable about the new technology.
The amount of investment considered under this distribution. Here the role of distributor is the transportation of the products near to customers. Through ensuring the customers positive expectation is companies one of the important role. Here there is a trade off between the types of direct distribution system. The right distribution enhances the exposure of the company in the market and improves the speed and efficiency. Apple Company used selective distribution by making outlets in specific locations.