Company A Marketing Channel Strategy Research

Marketing Channel is also called Distribution Channel, which refers the channel that the product shifts from producers to consumers, and its goal is lets the product and service can be consumed effectively.The channel is the most essential external power when an enterprise grows.Today with the intense competition of the market, and the homogenization of the product, price and advertisement, more and more companies have found it become very hard to win the market competition only depend on the product superiority. Channel has become the important tool which can help the enterprise get the competitive advantage and enhance the market share. Product channel strategy is the important part in the Marketing Channel strategy, and the choice and execution of the channel plays an important role in product marketing. How to design one's own marketing channel, how to use marketing channel to carry on product distribution, becomes an important problem of the company marketing task.When product B entered the market in April, 2004, A company signed a sale agreement with a company in Cheng Du (Following called Cheng Du company), that Cheng Du company becomes the sole distributor to sale product B of A company in nationwide scale. Cheng Du Company invested near one thousand Yuan for the channel construction, but two years later, the sales condition of product B is not good, the sales volume of each month is not more than 1000 m~2,and couldn't achieve Cheng Du Company's anticipated target, also is far from with A company's original intention. At the end of year 2005, A company re-claimed Cheng Du Company's dealership to sale product B independently. But A company continued to use the distribute network and marketing mode, and hadn't formulated the new marketing strategy, so the marketing channel structure was not reasonable, the channel efficiency was low, restricted enterprise's development, weakened enterprise's core competitiveness, caused product B couldn't be accepted by customers, sales volume was unable to enhance, couldn't satisfy the productivity of A company, and the enterprise fell into the difficult position. This article analyses the advantage, disadvantage, opportunity and threat with the application of SWOT method according to the internal and external environment of A company. With the problem analyzed of A company, according to marketing channel theory, it has made a detailed analysis of channel design, channel choice, channel stimulation, Channel conflict, channel training and so on, then propose the scheme and the solution of the Channel establishment, channel control and the channel appraisal.The analysis in this article is made according to the marketing channel strategy of A company, hoping to construct, standardized and consummate the channel management system suitable for oneself, and promote the sales work, enhance the company's competitive power, and make the contribution for A company's long-term development. This analysis not only has a strong practical meaning to the channel establishment and improvement of A company, but also has a certain reference value to similar enterprise how to establish the competitive advantage.