Course description

Logistics and Marketing Channels

Introduction

Logistics and Marketing Channels deals with the physical and administrative processes related to purchasing, handling, storage, transport and delivery of manufactured goods, raw materials and equipment, and discusses how goods and services are made available to the end users. To succeed in a market, a company needs to understand how the marketing channel may be improved and streamlined and how the products can reach the customer efficiently. It is becoming more and more important for the players in the marketing channel to carry out their tasks in such a way that the customers receive the right degree of service.

Logistical processes relate to many of the traditional functions within a company and comprise suppliers as well as customers. As a discipline, logistics has developed from a focus on reducing costs in individual areas to considering the overall picture through integration within the company and cooperation with suppliers and customers.
The subjects of logistics and marketing are closely related, and this course looks at the challenges from the point of view of both disciplines. The logistics part of the course describes the physical flow of the goods, and the marketing part shows how to encourage the demand.

Please note!
This course overlaps with a group of subjects in the Norwegian courses "Logistikk og markedsføriingskanaler (7,5 credits) and "Logistikk (7,5 credits). Consequently a combination of these courses can not be approved in a Bachelor's degree.

Course content

Marketing channels

  • Marketing channels as a subject area – Historical perspective, theory and practice
  • The marketing channel’s different service levels and market coverage
  • Functions of the marketing channel and the roles of each player
  • Use of intermediaries or direct distribution?
  • Retail activities: Shop-based and E-channels
  • Different functions of the wholesaler, types and strategy
  • Choosing an organizational form for the retailer and the marketing channel
  • Power, influence strategies and conflicts – Effective use of power to influence results
  • Customer to retailer – Customer service

Logistics

  • Introduction to the concept of logistics – scope and development of the subject
  • Delivery service – its importance to the customer
  • How does one measure delivery service?
  • Forecasts and stock management
  • Production management
  • Purchasing and cooperation with suppliers
  • The place of distribution and transport in the company and their importance in the value chain.
  • Principles in creating efficient logistics processes
  • The significance of logistics for the environment
  • The significance of information technology for logistics

Learning outcome knowledge

By the end of the course the student will have gained a basic insight into the current concept of logistics and how it has developed, plus an understanding of strategic and management challenges for marketing channels in general and retailers in particular. During the course students shall:

  • Have an understanding of the concepts of logistics, supply chain management and marketing channels.
  • Know models like Du Pont, total cost analysis, ABC analyses and classification models.
  • Be able to explain:
    • Delivery service
    • Logistics cost
    • Supplier relations
    • Strategic alliances
    • Shop management

Exam organisation

  • Written exam: 100%