Discussion Question Chapter 12: Distribution Strategy
Instructions
Write a post for the Discussion Forum on this topic, addressing the questions below. You may use either a written paragraph or bullet point format. Part 1 should be 2–3 paragraphs in length or an equivalent amount of content in bullet point form. Responses to your classmates’ posts should be 1–2 paragraphs or several bullet points in length.
Part 1: Distribution Strategy
What is your current distribution strategy? What missed opportunities or disconnects are you seeing in this distribution approach? Make recommendations about your future distribution strategy based on the following:
What are the best distribution channels and methods for you to use, and why?
Will you have a retail outlet and if so, where will it be located?
- In what geographic area(s) will your product/service be available?
Post 1
First peer response belowMcDonald’s current distribution strategy is to use the retail channel. McDonald’s does not make any of its own products, as it contracts with suppliers to meet this requirement. Some of McDonald’s suppliers include Tyson Foods, Lopez Farms, 100 Circle Farms, Gavina Gourmet Coffee, Hildebrandt Farms, and many others. The only missed opportunity I can see would be to possibly try to move to a more direct channel in certain areas of the business, to increase profits and have more control over products. However expanding to one of areas such as the production of meat, raw supplies, and soft drinks are not the line of business that McDonald’s is in. McDonald’s already has a proven business and I think it is best to stick to what is already successful for them and not move into other areas of the industry.The best distribution channel to use is the retail channel, which is the one currently utilized. McDonald’s is in the food service industry, and does best by taking food supplies from manufactures and producing meals out of them. The company is not in the supplies manufacturing industry, such as producing meat, milk, grain, breads, vegetables and condiments, and soft drinks. These areas are a whole different industry being the food production industry, and not the food service industry. McDonald’s does not have a retail outlet, but does have many restaurants and kiosks located globally. McDonald’s operates in a variety of geographical areas globally, from cities, to towns and suburbs and even some rural areas.
Post 2
Second peer response belowLego is present in around 130 retail stores around the world, most of which are present in the U.S. Retail stores are not the only places that carry the selection of Lego toys, but you can buy them at movie theatres, amusement parks and popular departmental stores and toy stores. The toys are exported throughout the world so that the toys are made more accessible to the people.[1] Lego is sold in stores and online with ease. It is beneficial for Lego to be utilizing the online market and reduced cost shipping through places like Amazon or big box retailers’ websites.Lego does have a retail outlet. Lego has stores in many malls across the world. Some of the stores are smaller, and some are large where customization can take place and you can play with Legos while there.It is hard to pinpoint one geographic location, so they will continue to be across the world. The size of the stores is based on traffic. For instance, there is a store in Washington DC mall. The store is in a 1500 square-foot space. This location does well and has much foot traffic, however it is nothing compared to the Lego store located at Mall of America, which takes up quadruple that space and has a rotating selection of life-size or larger Lego creations.[1] https://www.mbaskool.com/marketing-mix/products/17…


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