Bill Harding, the national sales manager for a major appliance maker, realized that the company would have to add more wholesale distributors in at least a half-dozen major territories on the East Coast and in the Midwest to keep up with the growth in those markets. Bill knew he needed good distributors who were financially sound, with strong selling skills and offered high service capabilities. To zero in on these potential, new distributors, Harding decided to use the company’s outside sales force covering those territories. He sent out memos to the district sales managers, who in turn informed the field sales force to call on potential distributors in their territories and send back written reports. One month later, Harding was very disappointed with the lukewarm response he got. The reports he received were skimpy and superficial. Harding was a little befuddled with the situation because all of the salespeople who were asked to prospect for new accounts were high producers. Why do you suppose Bill Harding did not get the enthusiastic response he wanted?
Answer to relevant QuestionsThe Rust-Oleum Corporation is world-renowned for its anticorrosive coatings for virtually any application, for use on everything from heavy industrial equipment to consumer patio furniture. The company sells its industrial ...The category of market variables was cited in Chapter 6 and the present chapter as one of fundamental importance to channel design. Explain why this is so. Identify any changing patterns of how consumers (or industrial buyers) purchase goods with which you are familiar. Trace the effects that these changes may have on the channel structure. Discuss the distinction between channel management and channel design. What are some of the problems faced by the channel manager in attempting to exercise leadership to motivate channel members in the interorganizational setting of the marketing channel?
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