Case study of chevrolet


Make sure our company is Chevrolet.

• Design place/distribution channel that satisfy needs and wants of the target market and support other marketing mix elements (product, pricing, and promotion strategies). It is extremely important that you take into consideration the critical marketing environmental factors, the target market's buying preferences and behavior, and competition when developing distribution channel strategy. Key considerations may include develop distribution channel structure, decide whether to develop new channels or select from existing channel members, suggest appropriate activities or incentives to retain and motivate channel members/partners, create guideline to work with distribution channel members, propose decision regarding logistics and supply chain management, etc.

• Action plan: suggest implementation of activities related to distribution decisions e.g., all proposed activities, responsibilities (who or which department is responsible for carrying out a specific activity) and timetables for completion. This is a 3-year action plan.

• Estimate cost of distribution channels and logistics for the 1st, 2nd, and 3rd years of operation. You may estimate distribution channel cost per unit of the assigned product. This information will be used in financial projection. You may follow the format suggestion (a combination of text, bullet points, and tables) in "product strategy."

There is example and resource for Place/Distribution Channel Strategy. See below

Customers and products have a significant impact on distribution channel structure. Channels strategy need to fit the enterprise's competitive edge as well as marketing objectives in every national market. A company can select a direct involvement strategy. Here the company comes up with its trade force or else operate its specific retail stores. In indirect strategy, the enterprises use independent distributors, wholesalers or agents. Our essay will focus on distribution channel of Chevrolet.

Chevrolet has numerous routes towards taking its innovations following its international channels of distribution and production. GM has structured its brands into four channels. Buick-Pontiac-GMC, Chevrolet, Saturn and Cadillac-Hummer-Saab. The channel brand name is determined on where the car is being produced as well as sold in. Generally, channels use the dissimilar brand name so as to make their cars or tracks appear more localized. Most of the car changes are designed particularly towards meeting the client's needs of where the car is being made. For example, Chevy Europe, which is based in Swiss sells rebranded products of GM Daewoo. It sold few US domestic markets which were modified towards suiting the European regulations. Chevy brand focus on value-driven cars within Europe. Additionally, the Chevrolet name was designed into diverse brands on behalf of Japan and Europe. Thus, with this vast global coverage, Chevrolet will be able to design and market vehicles to diverse part of the globe (Schweid, 2004).

Chevrolet also has different agencies in different parts of the world to assist them in their efforts of distributing their vehicles. For instance, Leo Burnett is among the agencies working on behalf of Chevrolet. The agency has been advertising the GMC Yukon sporty vehicle. Leo Burnett aims at ensuring that Yukon serves the customers of the Middle East (Bullard, 2008).

Also, Chevrolet is planning to come up with a manufacturing plant in China. GM'S joint venture within China is planning towards investing 14 billion dollars from 2014-2018. Its objective is to open at least five new vehicle-manufacturing plants as well as support sales of roughly five million vehicles yearly. At the same time, Chevrolet aspires to launch sixty refreshed or else new vehicles, such as sport utility vehicles. This manufacturing plant will easy distribution of cars in China, and the returns will be great since minimal cost is incurred to make vehicles available to clients.

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