As their actions will have ripple effects upon the entire distribution channel, having an impact upon the success of the product.
Discuss how the distribution strategy fits the product/service, target market, and overall marketing objectives for the company.
The distribution strategy that is being utilized will help to identify a target market for the MLX and allow the company to achieve its different marketing objectives. What is happening is the competition for routers is so intense; that many companies are claiming they have the best products. At the same time, the primary customers for this kind merchandise are businesses. Where, they will more than likely purchase routers in bulk and at a time when they need to be replaced. When you put these different elements together, this means that customers will more than likely comparison shop and will evaluate the underlying strengths as well as weakness of each product. For Brocade, this means that a strategy must be utilized that will address these underlying issues. While at the same time; being able to create a positive impression in the minds of customers.
As a result, the distribution strategy that we are utilizing: will introduce the product at a lower price in comparison to competitors and it is creating a substitute. These elements are important, because they will help to provide an alternative for customers to choose from. However, in order for any kind of distribution strategy to be successful, means that we must be able to have the product stand out against competitors. The reason why is because price is often associated with quality. Given the fact that the MLX is going to be introduced at a lower price, means that this could be viewed as a generic router (hence it is of inferior quality). To mitigate these kinds of effects requires, emphasizing the overall quality of the product and how it is superior to competitors. When you put these two factors together, this will help the customer to see the MLX as the next generation of routers that is selling at a superior value. Once this takes place, it will create a...
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