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| − | In [[Marketing Strategy and Organization: Building Sustainable Business|Marketing Strategy and Organization: Building Sustainable Business]] the following arguments for overestimating the impact of online [[Distribution Channels|Distribution Channels]] are mentioned:
| + | Overestimating impact of online channels |
| − | # The ''transaction costs argument''
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| − | ## optimistic view: online channels enable a company to acquire products and services more efficiently
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| − | ## realistic view: interaction between buyer and seller involves a vague trial and error process.
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| − | # The ''market expansion argument''
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| − | ## optimistic view: e-commerce enables a better matching of suppliers and faster more personalized access to customers enabling less volatile demand.
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| − | ## realistic view: successful contenders develop unique differentiation and build up switching cost.
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| − | # The ''Disintermediation argument''
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| − | ## optimistic view: online channels enable the supplier to bypass intermediaries
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| − | ## realistic view: setting up a distribution channel and attractive market place is difficult. You can eliminate the middle man but not the middle man's function
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| − | # The ''market diversification argument''
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| − | ## optimistic view: internet provides bricks and mortar companies with opportunities to build business elsewhere.
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| − | ## realistic view: building business remains harsh.
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| | [[Category:mbi]] | | [[Category:mbi]] |
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| | [[Category:M11-S1 - Reading - Marketing Strategy and Organization - Chapter 5 - A Concept of the future]] | | [[Category:M11-S1 - Reading - Marketing Strategy and Organization - Chapter 5 - A Concept of the future]] |
Revision as of 19:20, 27 August 2020
Overestimating impact of online channels
