Question

1.As the manufacturer of small appliances, explain how you might plan to use both a push strategy and a pull strategy.

2.Identify two stores at which you shop, one of which uses everyday low pricing and another than uses a high/low pricing strategy. Do you believe that each store's chosen strategy is appropriate for the type of merchandise it sells and the market of customers to whom it is appealing? Justify your answer.

3.Since you are taking this class you may begin to notice pricing strategies when you shop. What new products have you purchased in the last two years that were priced using either a penetration or a skimming approach? Explain.

4. Give an example of a retailer that participates in an independent (conventional) supply chain and one involved in a vertical marketing system. Discuss advantages and disadvantages of each.

5.Why have so many brick-and-mortar retailers adopted an omnichannel strategy?

Answer 1

1) The following things can be done for Push and Pull strategies of small appliances:

Push:

• Negotiation with traders and giving discounts to suggest to consumer and drive sales
• Display board and banner at point of sale
• Promotion in trade show to increase demand from retailer
• Selling to customers directly by visiting home

Pull:

• Mass media promotion to give higher value to customer
• Referral system for sale along with word of the mouth publicity
• Giving heavy discounts to customers to attract for sales