The choice of Distribution Channel in International Marketing Decision

By

Acknowledgement

I would take this opportunity to thank my research supervisor, family and friends for their support and guidance without which this research would not have been possible

DECLARATION

I, [type your full first names and surname here], declare that the contents of this dissertation/thesis represent my own unaided work, and that the dissertation/thesis has not previously been submitted for academic examination towards any qualification. Furthermore, it represents my own opinions and not necessarily those of the University

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Abstract

In this study we try to explore the concept of “Choice of distribution channels” in a holistic context. The main focus of the research is on “Choice of distribution channels” and its relation with “International marketing”. The research also analyzes many aspects of “Choice of distribution channels” and tries to gauge its effect on “International marketing”. Finally the research describes various factors which are responsible for “Choice of distribution channels” and tries to describe the overall effect of “Choice of distribution channels” on “International marketing”

Table of Contents

CHAPTER 1: INTRODUCTION6

Apple Solution Expert7

Objectives8

Requirements for channel9

Apple's Distribution Policy10

Recommendations12

Research Aims and Objectives13

Problem Statement13

CHAPTER 2: LITERATURE REVIEW14

Introduction and justification14

Developing theory15

Universal price for a low price and acceptable quality18

Production economies of scale18

Distribution Channels19

Channels in the Service Sector20

Physical Distribution20

Physical Distribution21

Mission of the Physical Distribution in an Enterprise21

Balancing the physical distribution system23

Considerations for choosing distribution channels23

Alternative strategies to distribution25

International logistics27

CHAPTER 3: METHODOLOGY28

Research Design28

Literature Search28

CHAPTER 4: RESULTS AND ANALYSIS29

The export department30

The international division30

The global organization30

Traditional channel structures32

Modern channel structures33

CHAPTER 5: CONCLUSION36

Cost41

REFERENCES43

APPENDIX49

Chapter 1: Introduction

Apple Inc. is an American multinational corporation that develops and manufactures consumer electronics, software and personal computers. The most famous products of hardware Macintosh computers are IPod, iPhone and IPAD. Apple Software includes Mac OS X operating system, browser ITunes Media, iLife suite of multimedia and creativity software, office suite software IWORK, Aperture, a professional photography package, Final Cut Studio, a set of professional audio products and film-industry software, and Logic Studio, a set of audio tools. Since January 2010, the company operates 284 stores in ten countries, as well as an online store where hardware and software products are sold. (Houston, 2000, 1)

Based in Cupertino, California on April 1, 1976 and incorporated January 3, 1977, the company was called Apple Computer, Inc in the first 30 years, but dropped the word "computer" on Jan. 9, 2007 reflect the continued expansion of the company's consumer electronics market in addition to its traditional focus on personal computers. Apple has about 35,000 employees worldwide and around the world had annual sales of 42.91 billion U.S. dollars in the fiscal year ending September 26, 2009. For reasons as diverse as his philosophy of comprehensive aesthetic design to its distinctive advertising campaigns, Apple has established a unique reputation in the consumer electronics industry. This includes a customer base that is devoted to the company and its brand, particularly in the United States. Fortune magazine named Apple the best company in the United States in 2008 and worldwide in 2008, 2009 and ...