Research On Marketing Channel Strategy Of W Company

As the world is undertaking ceaseless progress, technology is changing rapidly. Modern society is full of severe competition. We are now in an ear of information explosion. After hundreds of years’of devolvement, while electric industry has been becoming more and more mature, the homogenization of products, prices and promotions has become more and more serious. As a key component element of core-competitiveness, electrical enterprises, has attached more and more importance on marketing channels for its irreplicability. The channel segment has attained higher and higher position, and finally become the key factor which occupies the market. The enterprise which possesses the most powerful marketing channel has the most possibility to occupy the largest market share. As the reason, how to scientifically get to know and develop a channel, how to maintain a stably developing channel and how to increase the channel competition, has gained more and more importance in the electrical enterprises.As the subsidiary of one of the world’s top 500 enterprises, W company has just entered China market, however, with its brand and product advantage, W company has gradually arranged its whole set of marketing grid. Channel members have been positioned over almost all the large cities in China. After several years of hard work, W company has made some of its products standing the first of the similar products in the domestic market. Nevertheless, as the company develops, many problems in its channels come out and finally become a stumbling block and keep W company from developing stronger. For example, the arrangement of the existing channel has not planned effectively according to the economical developing situation of different parts of China; there is a problem existing in the length of the channels that W company use, which, in the practical operation, has made W company unable to control the complete equipment enterprises whose components directly provided by W company; the company has a lot of things remaining to be done in the development of the target markets and the construction of channels, and has many problems to be overcome; conflicts happens occasionally in the routine channel management.A combination research method of qualitative analysis quantitative analysis has been used through integration of practical marketing investigation with theory study in this essay to analyze the industry current situation and developing trends, the competitors’channel strategies. A channel strategy about actively extending and energetically arranging new channel grids has been drawn out through analyzing the marketing environment, the current channels’ situation and drawbacks and investigating the competitors’advantages together with disadvantages in order to win more market shares. Furthermore, a deep dissection of W company’s present problems in the current channels has been conducted in this essay to find out and give strategic suggestion to solve its drawbacks in the channel design, channel structure and channel management. Because almost all the electrical enterprises have confronted with the same problem mentioned above, the reasonable solution and strategies drawn by analyzing W company’s marketing channels can provides illuminations and references to other enterprises.