Once Proudly Web Only… (NYT)

1. Change: - 2007: “(Opening) Stores were a bad

economic decision” - 2012: “E-commerce does not mean that the

offline world is going away” A takeaway

2. New idea about offline stores: Store as a showroom A takeaway

Once Proudly Web Only… (NYT)3. An Example of a New Type of Offline Store

- Appointment only: - Partitioning attributes: fit and look ???

color and design ??? - A challenge : From Web to Offline Store

4. What is Your Key Takeaway?

Big Brewers Are Sidling into Retail

1. Issue: Legal restrictions

2. Brewers’ Responses:1. Brew-pubs

2. Licensing

3. Benefits: Marketing, shelf space

4. Potential Danger of the strategy

Liquor Sales In Washington1. What is the key issue here?

2. Costco’s Arguments1. - Government Store2. - Bypass distributors

3. Liquor Distributors’ Argument

4. Result of the Ballots

5. Whose view do you support and why?

How Automakers Keep You Coming Back

1. Your Favorite Car Brand?

2. Why is loyalty important for automakers?

3. Tools for loyalty1. Incentives

2. Dealer services3. Financing

4. Loyalty and Resale Value (Chart)

Barnes & Noble and Nook (WSJ)

1. What are the two key threats for B&N?

2. Decision: Number of stores from 689 to 450 to 500.

3. “Mainstream booksellers eventually will become a thing of the past” Nonsense?

4. What can B&N do to survive and thrive?

Barnes & Noble and Nook (WSJ)

5. E-book market and B&N- Which type do you prefer? Paper or Digital?

6. What to do with Nook? - Declining e-book market share: 20% 27%

- “Barnes & Noble needs to sell its own tablets if it is to retain a decent market share of digital content.”

- Make or Buy?

Coke’s Distribution Problem (circa 2006)1. Historical Background

- Current distribution system for soda pops- Why current system?- Problems of the current system

2. What is the key issue? Coke’s view versus independent Coke Bottler’s view

(www.beverage-digest.com)

3. Enter the Wal-Mart! - Direct-to-Store Delivery Direct-to-Warehouse Delivery - National Account Management Issue

4. Lawsuit and Settlement

Wine Distribution (Circa Sep 2008)

1. State Response to Supreme Court Ruling in 20051. More States To Permit Direct Shipping2. Made it hard to order3. Discrimination against Big, Out-of-State Wineries (from West Coast)

http://www.freethegrapes.org2. New Players: Amazon.com; WSJ; NYT

www.wsjwine.com 1. Efforts to Knock Down Shipping Restrictions

- Mixed Success- Indiana case: State cannot bar shipments by out-of-state wineries to

retailers.

4. Learning points: Antitrust and Consumer Welfare; (Slow) Channel Evolution

How H-P Reclaimed Its PC Lead Over DellI. Hiring Todd Bradley from PalmOne

II. “HP is fighting on the wrong battlefield” Shift of Channel Focus (ex: Store-exclusive

notebook)

III. Migration of PC demand: Desktops Notebooks

(different buying/using behavior)

IV. H-P needed to convince shoppers that retail stores were the better channel choice Shift of H-P PC

Positioning: Product Focus User Focus (“The Computer is Personal Again”)

V. Promotion Shift: More Pull StrategyMore Push Strategy

Two Channel Promotional Strategies**Two Channel Promotional Strategies**

Pull Strategy

Manufacturer

Channel members

Final users(consumer or industrial)

Final users(consumer or industrial)

Channel members

Manufacturer

Push Strategy

1*

2

3

*Numbers indicate sequence of flows

Promotion flowNegotiation flowProduct flow

1

2 3

Samsung’s challenge stumbles (WSJ)1. Major Players in Mobile Phone Market

1. Hardware: Samsung and Apple2. Software and Services: Apple and Google

3. Samsung Phone’s Platform: Android

2. Samsung’s Response: Develop Own OS! Tizen

3. Track Record of Tizen so far?

4. Nature of Platform-based business: Two-sided market Device (customers) Developers

5. Two Questions1. What would happen to Tizen?

2. What should Samsung do?