BUS_563_Marketing_Channels_-_Bert_Rosenb

23C A S E

Koehring Company

Evaluating Channel Member Performance

The Koehring Company of Milwaukee manufactures and sells a broad range of construc-
tion machinery and other heavy equipment, including industrial machinery and specialty
oil well hardware items. The company has 11 domestic operating divisions, each of which
is responsible for its own sales, service, and product research and development.

The number of the company’s divisions and its annual sales have grown in recent
years, and so has the number of distributors selling Koehring products. Complicating
the Koehring distribution setup is the fact that some distributors handle several of the
company’s construction equipment lines, while others carry only one or two lines of
company manufacture.

Several years ago, the company reviewed its methods of distributor evaluation,
which at the time were “subjective, irregular, and fragmentary.” Routine appraisals were
not a part of company procedures, and when management asked field salespeople about
the performance of an individual distributor, the answer elicited often ran, “Well, they’re
doing all right,” “They could be better,” or something equally vague.

Finding this approach to distributor evaluation unsatisfactory, management decided
the company needed a better and more comprehensive reporting system—namely, one
that would give both the divisions and corporate headquarters better knowledge and
control of distributor operations without having to wade through volumes of disorganized,
subjective information. One problem of particular concern emanated from the uneven
performance of many distributors: they might be doing an excellent job on certain Koehring
lines, but a poor one on others. How could intelligence about such performance be effec-
tively communicated to corporate headquarters and between divisions?

In short, an efficient evaluation procedure was called for, one that would uniformly
measure distributor performance.

The Dealer Rating Form

The corporate marketing staff hit upon an answer—the “Koehring Dealer Rating Form,”
which provides the basis for an annual evaluation system. Exhibit 1 illustrates the form.

The key to the rating system is found in the lower half of the form and is known as the
“Penetration Index.” This index is computed, as the instruction sheet explains, by dividing
the annual dollar value of the dealer equipment sales by the annual equipment sales quota
that was assigned to the dealer at the beginning of the year. (Annual quotas assigned to
dealers for each Koehring product line they carry are fixed with their advice and
consent.) The penetration index is then converted into the dealer rating. (Exhibit 2 is the
instruction sheet.)

To take a hypothetical example: If a dealer’s annual equipment sales amount to
$100,000 and an equipment sales quota was set at $110,000, then $100,000 divided by

623

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624 Part 5: Cases

EXHIBIT 1 Koehring Division: KOEHRING COMPANY DEALER RATING FORM
Company Dealer Fiscal Year:
Rating Form

Dealer Name: Dlr. Code No.

MAIN OFFICE AND BRANCHES Number of
(List main office first) employees
State, City Number of
salesmen
Service
facilities
rating
Number of
Servicemen
Quality of
service ren-
dered ratg.
Parts stock
rating
Equipment
stock ratg.
All product
promotion
rating

Total, All Branches Koehring Company Representation
Type of sales contract or products under sales franchise

Products Exclusive Non Koeh. Div. Kwik-Mix
exclusive Schield Johnson
Parsons KO-CAL
Buf. Spr.

Other major accounts handled:

Regional representative (Name) Region or area no. Net Worth
Credit rating: Profit
Dealer sales, (All accounts)

1962
1963
1964
1965

Division Dealer Volume

$ Volume Dealer percentages Penetration
quota Index
Equipment Parts Total Total Potential *
A (Equipment) B division U.S.
dem. sales sales

1961
1962
1963
1964
1965

Performance rating:

1961 1962 1963 1964 1965

Action in 1966

*Penetration Index 5 Dealer equipment sales (Column A)
Dealer equipment sales quota (Column B)

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Case 23: Koehring Company 625

EXHIBIT 2 Theoretically, each dealer should be rated annu- I II III
ally on his overall performance in terms of sales Penetration Dealer
Instruction Sheet for volume, penetration, efforts, financing, parts, Rating Description
Koehring Annual services, etc. However, in actual practice such Index Code
Dealer Rating ratings tend to become subjective, thereby Range Excellent—
reducing the comparability and consistency 1.5 and over 1 Performance in
necessary for a continuing program of distribu- sales, penetration,
tor analysis and review. The following is a guide 1.2 to 1.4 2 efforts, financing,
for making more reliable and valid objective parts, service, etc.
judgments: 0.9 to 1.1 3
Good—
Method for Computing Rating 0.6 to 0.8 4 Performance
above average in
1. Fill in the required information for each dealer 0.5 or less 5 sales, penetration,
on the Dealer Rating Forms. efforts, financing,
parts, service,
2. Compute the Penetration Index. (Divide the etc.
dollar value of column A by the dollar value of
column B.) Average—
Performance
Formula: satisfactory or
average in sales,
Dealer Equipment Sales ðCol: AÞ penetration,
Dealer Equipment Sales Quota ðCol: BÞ efforts, financing,
parts, service, etc.
An index of 1.0 indicates the dealer’s attain-
ment of his equipment dollar quota. An index Fair—Performance
value above 1.0 signifies that the dealer has below average,
exceeded his quota and any index value below weak in all or most
1.0 expresses the degree to which he has fallen of the areas of
short of his quota. sales, penetration,
efforts, financing,
3. Assign a tentative Performance Rating to each parts, service, etc.
dealer based on his Penetration Index (refer to and needs
columns I and II in the table). improvement.

4. Evaluate this rating in terms of the dealer’s Poor—
total performance indicated by his accom- Performance
plishments of the items listed under the unsatisfactory,
description for that rating in column III. requiring definite
corrective action.
5. Adjust the rating accordingly if warranted by Should be consid-
your evaluation of his total performance. ered for
cancellation.
6. Analyze the situation and record the suggested
necessary action for improving his penetration
for next year.

$110,000 equals 0.909, which falls in the penetration index range of 0.9 to 1.1. A pene-
tration figure in this range equals a dealer rating of 3, which is considered “average.”
Dealer ratings range from 1 (excellent) to 5 (poor).

The performance rating developed in this manner is not necessarily the final rating
the distributor receives. As described in steps 4 and 5 on the instruction sheet, the com-
puted rating is next evaluated “in terms of the dealer’s total performance,” so that the
rating can be further adjusted if warranted.

An independent rating is prepared on each distributor for every Koehring product
line represented. If two or more company lines are carried, the distributor receives inde-
pendent ratings for each line; no overall rating, combining performance ratings on each
line, is computed.

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626 Part 5: Cases

Ratings and Potentials

A supplementary check on the company’s distributor organization is made by matching
the dealer’s rating with that state’s construction-potential classification.

The classification by state and its use are described in an instruction sheet, as follows:

To help in reviewing and evaluating the annual dealer performance ratings on a more
objective basis, each state has been classified according to its annual potential. The poten-
tial for each state is based on dollar volume expressed as a percent of the total U.S. con-
tract awards for engineered construction projects relevant to each Koehring division.

Alphabetical potential classifications are as signed to each state based on the dollar vol-
ume awards expressed as a percentage of total U.S. construction awards for each division’s
category. The following key shows the range of percentages comprising each potential class:

Potential Range of the Percent of
Classification Total U.S. Awards per Class:

A 6% and over
B 5.0–5.9%
C 4.0–4.9
D 3.0–3.9
E 2.0–2.9
F 1.0–1.9
G 0.0–0.9

Thus, a state classified as having “A” potential would account for 6 percent or more
of the dollar awards made in the country for projects most likely requiring a particular
division’s equipment.

Management believes that, while excellent dealers everywhere are of course desirable,
states with the heaviest concentration of business should have dealers with superior per-
formance ratings. Thus, a dealer in an “A” or “B” state achieving a performance rating of
4 or 5 would indicate that a great deal of business in that state remains untapped or, at
any rate, is not falling to the company.

Ratings of distributors are carried out by district sales representatives, in conjunction
with their sales managers, at least once per year.

Performance Reports

While a number of company reports are drawn, to a greater or lesser extent, from the
annual dealer rating process, two are reported to be especially useful to management:
U.S. Construction Equipment Dealers Performance Ratings and a summary report,
Annual Dealer Ratings by Divisions.

The first report gives the performance rating for every domestic and Canadian distrib-
utor for every division in the company (Exhibit 3). The entire annual performance for
any distributor may be ascertained at once; and, since the data are arranged by states
and provinces, the distributor may also be measured against all colleagues in the same
area. Also, the quality of any division’s representation in any area is immediately appar-
ent. The report is, in effect, a composite of all ratings of all dealers through which the
products of Koehring’s divisions are sold. Also shown are the two most recent years’ rat-
ings for each division on each of its distributors, giving a further quick comparison of
distributor performances.

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Case 23: Koehring Company 627

EXHIBIT 3 Koehring Company Construction Equipment Dealers’ Performance Ratings
State and Dealer
RoB-aSd equip.
prFoladhuectrsty
prJoodhuncstosn
prKodO-uCctAsL
trePanrcshoenrss
duPamrsptoonrss
loaPadresr-ohnsoe
MP&CMMH
KAP-CMMO
prKoodeuhcrtisng
prSocdhiuecltsd
&Tehxceawv.CR.
loaTdheerws

Alabama 3 3 13 24
. . . . Equip. Co. 3 43
. . . . . . . . Service 2 3
. . . . . . . . . . . . Equip. Co. 2 3
. . . . Mach. Co. 3
. . . . . . . . . . . . . Tr. Co.
3 32 4

Alaska 12 3 5 45
. . . . Equip. Co. 5
. . . . . . . . . . . . Equipment 55
. . . . . . . . . . Equip. 53
. . . . Equip. Co.

Arizona 22 33 45 5
.................. * * 5 55 5 2
. . . . Constr. Co.
. . . . Equip. Co. 33
. . . . . . . . . . . . . . Co.
. . . . . . . . . . Equip. Co. **
. . . Machinery Co.
. . . . . . . . . . Machy. Co.

Arkansas 32 43
. . . . Equip. Co. 4
. . . . . . . . . . . . . . . Machy. 44 33 *4 51
. . . . . . . Equip. 54 44
. . . . . . . . . . . . Supp.

The second report on annual dealer ratings by divisions, in bar chart form, shows
the composite quality of each division’s distributor representation during the year
(Exhibit 4). Of 79 dealers rated by the Schield Bantam division, the chart indicates
that 5 percent of this division’s dealers earned Rating 1 (excellent); 23 percent, Rating
2 (good); 40 percent, Rating 3 (average); 23 percent, Rating 4 (fair); and 9 percent,
Rating 5 (poor).

The dealer ratings form the basis for supplementary reports that receive limited distri-
bution and are for special internal use. In addition, the ratings are helpful in discussions
of problem areas and problem distributors at companywide sales meetings.

The corporate marketing staff, which is responsible for all statistics, market research,
and market analyses, including the annual dealer ratings, acts as a clearinghouse for divi-
sional marketing intelligence and prepares the consolidated reports for management.

According to the company, cooperation of the sales force in filling out and sending in
dealer ratings has been excellent, and the field sales force is solidly in favor of the dealer
rating system.

Commenting on the pros and cons of the approach, a Koehring marketing executive
points out:

There are too many variables, of course, to evaluate our distributors completely and
with absolute accuracy by this mathematical method. The human element of judgment
cannot be eliminated—nor should it be. We do feel, however, that we are on the right
track by evaluating in this manner, in that a common denominator is achieved for all
distributors by rating them all on the same basis.

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628 Part 5: Cases Number 40%
30
EXHIBIT 4

Annual Dealer Rating
Summary for the
Schield Bantam
Division

20
23% 23%

10
9%

5%

0
1 23 45
Rating

Then, and only then, may the refinements, modifications, and exceptions be noted
and taken into account. In this way, the ‘by gosh and by golly’ sort of approach is elimi-
nated. In general, we are most pleased with our evaluation procedures.

Discussion Question

1. Evaluate Koehring’s approach to measuring
channel member performance.

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24C A S E

SESAC

Channel Design Strategy for an Intangible
Service

Natasha Lee opened the market share report and she didn’t like what she saw. As VP
of Sales and Marketing at SESAC (pronounced see’sak) she was responsible for gener-
ating profitable revenue. But the data showed her company losing ground in the gen-
eral licensing category across the United States, with market share slipping relative to
industry competitors. She had heard from her chief executive that some of SESAC’s
best known artists and publishers were becoming uneasy with the pace of growth on
the collections side. There were whispers that some might even be considering defect-
ing to ASCAP, the largest of the industry’s three performing rights organizations
(PROs). It was time to take a serious look at the sales and distribution strategy for
SESAC’s service.

Natasha had one week to prepare an analysis of the situation for the CEO, and make
a recommendation for growing the general licensing category (e.g., function halls, night-
clubs, restaurants, etc.). Specifically, Natasha needed to decide whether SESAC should
keep the call center that it had used for the previous 20 years, or change its channel
strategy, perhaps by hiring a sales force.

Performing Rights Organizations

PROs have existed in the United States since the early 20th century. Emulating similar
organizations in Europe, musicians organized an effort in the United States to protect
their compositions from businesses that sold their material at a profit, giving the artist
neither recognition nor reimbursement.1 The first PRO in America was established in
New York City on February 13, 1914 primarily to protect the copyrighted musical com-
positions of Tin Pan Alley musicians. The American Society of Composers, Authors, and
Publishers (ASCAP), as it was called, counted Irving Berlin and John Philip Sousa as
some of its initial members.

Today, there are three PROs operating in the United States: ASCAP, BMI, and
SESAC. The PRO business model is essentially the same. The PRO collects royalties
from broadcasters and venues that play music, and then distributes the money to a
pool of copyright owners that have signed to its roster (see Exhibit 1).

Royalties are negotiated with each user of the copyrighted material on an individual
basis. Payments are then made to affiliates (i.e., copyright owners) based on the number
of plays and audience size for each song registered in the PROs library; these calculations
are generally made from nationwide sampling of radio plays.

1Broadcasting & Cable (1999). It all begins with a song. 10/25/99, Vol. 129 (44), pp. 42–47.

629

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630 Part 5: Cases

EXHIBIT 1 Business Model of Performing Rights Organizations

Royalties Performance Rights Payments
Organization (PRO)
*General licensing Affiliates
(e.g., bars, nightclubs, function (Copyright owners)
halls, hospitals, restaurants, retail

stores, country clubs, etc.)

Broadcast licensing
(e.g., radio, television)

New media
(e.g., Internet, mobile phones)

Artists must commit exclusively to one of the three PROs, but each PRO can sign as
many artists, publishers, and other copyright owners as it wishes. PROs must maintain a
delicate balance between expanding their roster of artists and signing venues and broad-
casters. If there are too many affiliated artists, the royalties pie is split too many ways,
which is unattractive to artists. But if there are too few artists, then organizations that
pay royalties are reluctant to sign up, thinking that chances are slim that they are actu-
ally playing the PROs’ music.

Traditionally, royalties were generated by sales of sheet music, record album sales,
and radio play, but the new frontier appears to be in live performance and other non-
traditional channels. It is estimated that between 50 and 75 percent of songwriters,
compensation now comes from channels other than radio. For example, radio provides
35% of ASCAP’s total royalties, with the majority coming from television and perfor-
mance venues. At BMI, general licensing and new media licensing had grown by al-
most 15% since 2000, while radio royalties had fallen by almost 20% over the same
period.

All individuals and businesses that play live or recorded copyrighted music are re-
quired by law to pay royalties to the copyright holder, either directly or through a
PRO. Violators face penalties of up to $20,000 per infraction. Special exemptions apply
to organizations such as non-profit institutions that have no admission charge, record
stores, movie houses, religious organizations (during worship only), and government
bodies (state and federal).

The Company

SESAC, originally called Society of European Stage Authors & Composers, is based in
Nashville, Tennessee. Founded in 1930 to support European music artists in the US
market, it is the smallest of the three performing rights organizations in the United
States (see Exhibit 2). SESAC is a privately held enterprise that operates as a for-
profit business, and it retains an undisclosed amount of performance royalty income
as profit.

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Case 24: SESAC 631

EXHIBIT 2 US-Based Performing Rights Organizations2

ASCAP Revenues Affiliates Employees Web site
BMI (2007) (i.e., artists) 800 www.ascap.com
SESAC 550 www.bmi.com
$599 million 235,000 110 www.sesac.com
$611 million 300,000
$52 million
9,000

The company has three primary divisions which are independently responsible for
generating revenues for the company: General licensing, Broadcast licensing, and New
Media licensing:

• General licensing: Sales receipts in the general licensing segment are primarily col-
lected from entertainment venues such as restaurants, pubs, nightclubs, hospitals, and
function halls. Any establishment at which patrons are charged, and music is a sub-
stantial part of the experience is legally required to pay royalties. Fees for venues are
based on an algorithm that includes variables such as type of establishment, square
footage, amount of live music played, and number of seats; the calculation is meant to
estimate the number of people who hear music during a given week. Licensing fees can
range from as little as $200 to thousands of dollars per year. Approximately one third
of SESAC revenues come from the general licensing category.3

• Broadcast licensing: Music played on the airwaves is monitored primarily by a so-
phisticated digital tracking service called BDS (Broadcast Data Systems). SESAC gen-
erates revenues from every facet of public performance, including mainstream radio,
college radio, satellite radio, Internet radio, and television.

• New media licensing: This division covers non-traditional channels such as Internet
radio, satellite radio transmissions, and ringtones. While new media currently
represents a relatively small proportion of SESAC revenue, this division is growing
quickly.

Despite SESAC’s small size, company executives believe that its for-profit status af-
fords it a competitive advantage in the industry. ASCAP and BMI are not-for-profit or-
ganizations, so they are required to accept all qualified copyright holders that apply for
membership and to distribute all royalties to their affiliates (less an administrative fee).
In contrast, SESAC’s has fewer operating restrictions. It enticed headliners such as Neil
Diamond, Bob Dylan and Bryan-Michael Cox by tailoring agreements to the needs of
those artists. The same flexibility is possible when signing general licensing venues.
Thus, the company’s plan is not to challenge BMI and ASCAP head-to-head; rather it
is to provide the best value to affiliates and licensees by being selective about the markets
and segments it enters.4

2Noam, Eli M. (2009) Media Ownership and Concentration in America, Oxford University Press: New York;
Krasilovsky, M. William and Sidney Schemel (2007) This Business of Music: the Definitive Guide to the Music
Industry, 10th ed. Billboard Books: New York, NY.; Op cit., Broadcasting & Cable (1999); Stark, Phillis (2004)
Changing of the guard at SESAC, Billboard, 6/12/2004, Vol. 116 (24).
3Op cit., Krasilovsky and Schemel (2007) This Business of Music.
4Stooksbury, Cindy (1995) SESAC third player in music licensing. Amusement Business, 9/11/1995, Vol. 107,
Issue 37.

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632 Part 5: Cases

EXHIBIT 3 Number of Establishments in United States for Select Categories5

Category Number of Establishments (designated as
Full-service restaurants taxable by US census)
Drinking places (pubs, taverns, nightclubs) 195,659
Hotels & motels (except casino hotels) 48,856
Colleges & universities 46,295
Health & fitness centers 38,299
Golf courses & country clubs 17,866
Bowling centers 8,546
Theater companies, & dinner theaters 5,590
Skiing facilities 1,600
379

General Licensing
The general licensing division of SESAC has a wide array of licensees. The size of
SESAC’s library is the smallest of the industry; nonetheless, it has a sufficient number
so that it would be difficult for an establishment that played music frequently to avoid
hitting SESAC material. In practical terms, this means that nearly every venue in Amer-
ica could be a paying customer. Jazz, Latin, and Christian music venues are even more
likely to play SESAC music. Exhibit 3 shows the number of establishments in key poten-
tial business segments.

SESAC typically charges between $400–$1000 per year for unlimited use of all SESAC
material at a single location; the average price of a SESAC general license is just under
$600. Some businesses (e.g., retail stores) play background music in a way that is barely
noticeable, while others (e.g., dance clubs) feature music as their raison d’être. SESAC
tries to reflect these sorts of differences in their calculations. The company believes
strongly that if an establishment profits from the use of copyrighted materials, it should
be responsible for paying music copyright fees. However, SESAC prides itself on eschew-
ing the adversarial “pay-us-or-we’ll-sue-you” position that ASCAP had been accused of
taking in the past. SESAC wants to build a relationship with licensees—a relationship
built on mutual benefit. A reasonable fee can be worked out when licensees understand
the value that SESAC songs can bring them.

Two Options for Channel Structure

Call Center Channel
For the past 20 years, SESAC has operated a call center in order to develop the general
licensing program. There are currently 35 full-time employees working in the center. The
system is simple. Leads are generated by purchasing lists of establishments in entertain-
ment related industries, such as pubs. Leads can be inputted automatically into the data-
base and set on “active” status. This means that a direct mail piece is generated
automatically and sent to the establishment telling the prospect that a representative
will be calling to answer questions and arrange for payment of money owed based on

5US Census, 2002, www.census.gov.

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Case 24: SESAC 633

the characteristics of each establishment. In order for a lead to become active it has to be
assigned to a call center member. Each caller is given 500 accounts to work on at any
one time. When a customer account is successfully contracted as a licensee, the next
lead in the queue is assigned to whoever closes the account, and the corresponding direct
mail piece is sent out. The caller’s database automatically alerts him or her that the mail-
ing needs to be followed-up with a call in a timely fashion. In the event that a caller finds
it impossible to secure an agreement from an establishment, he or she can terminate an
account with the approval of a supervisor. This is a source of numerous disputes between
callers and supervisors since it is quite difficult to secure a sale and callers are always
eager for fresh leads.

Many of SESAC’s affiliates are artists that are concerned with their reputation. SESAC
takes its responsibility as a representative of affiliates very seriously. A sales manager is
assigned to control quality for all calls. Calls are recorded at random and monitored to
ensure that callers act with courtesy and professionalism. Scripts are used in order to
guide callers through conversations with prospects. These scripts have phrases of intro-
duction, answers to frequently asked questions, and suggestions on ways to close a sale.

Each quarter, the call center manages to sign 8% of all open leads on average, al-
though rates of individual callers vary considerably. It generally takes about 3 months
from the moment that a lead is assigned to the time that a contract is signed. There are
three reasons why it is difficult to close sales.

• Managers at establishments that play music are exceedingly difficult to reach. Many
primarily use their cellular phone which may not be registered and others are pro-
tected by gatekeepers who keep undesirable callers from getting through. Moreover,
some managers view royalties as a non-revenue generating expense and avoid calls
from SESAC call center.

• The service is difficult to explain to managers. It may require a phone conversation
and several letters just to assure prospects that SESAC is a legitimate business repre-
senting artists that are entitled to royalties. Establishments that are already paying
ASCAP and BMI may think that this absolves them from contracting with SESAC as
well (most establishments must sign with all three PROs to get full coverage).

• Suing establishments is not a credible threat. Although SESAC is legally entitled to file
suit against establishments that infringe on copyright laws, the company tries to avoid
this path at all costs. SESAC does not want to be seen as attempting to strong-arm
small businesses since it could result in a public backlash against SESAC and its
affiliates.

Most callers have some experience in other telemarketing jobs, but very few have college
degrees or experience in the recording or hospitality industries. Employees working in the
call center are paid just under $15 per hour and usually work an eight hour shift from
11:00am-7:00pm. Each employee is expected to make at least fifteen calls per hour.

Sales Force Channel

The call center channel had operated of for years and Natasha was hesitant to propose a
change that might mean a significant investment in time and money for SESAC. Never-
theless, she wondered whether sales might pick up with a decentralized sales force in lo-
cal markets. An arrangement like this would give individuals more freedom to contact
whomever they wished without the burden of scripts or monitoring. She thought that a
more professional sales force might have greater success with the difficult clients that are
found in the hospitality business. Her calculations suggest that with a portfolio of around
500 leads a professional sales person could probably convert about 15% each quarter.
This translated to 75 accounts per quarter per sales rep on average.

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634 Part 5: Cases

Of course, sales people would have to be compensated at a considerably higher rate
than call center employees, eroding margins. Professional sales people demanded a salary
of between $60,000 and $150,000 depending on experience. A 50% commission on first
year revenues of newly acquired customers would be consistent with norms for sales
people compensation.

Hiring sales consultants on a commission basis might actually lower SESAC’s over-
head. For field-based sales consultants, $150,000 per quarter would cover an experienced
sales manager and training of new field-agents. In contrast, fixed costs for the call center
reached $250,000 (not including wages) per quarter; this includes renting the space,
maintain the telephone system, and paying managers to monitor callers. All othe costs
were comparable for either scenario.

The Decision

General licensing presented a substantial opportunity for revenue growth, but SESAC’s
coverage of venues was still quite spotty. It was essential to increase the base of licensed
clients in order to balance the steady growth of affiliates. A good decision could put
SESAC in an enviable position as successful company in an industry with strong cash
flows. The wrong decision could do irreparable harm to the company’s standing as
respectable player in the industry.

Natasha’s needed to decide:

• Should SESAC keep the centralized call center channel or move to a field-based sales
force channel model?

• What are the benefits and risks of remaining with the call center channel?
• What are the benefits and risks of moving to a sales force channel model?

Discussion Questions 2. Given the intangible nature of the service pro-
vided by a PRO such as SESAC, are there any
1. What other channel strategies might be appro- channel strategies or tactics that might help to
priate here besides a direct field sales force tangibilize the service?
channel structure or the call center channel
structure?

Copyright 2011 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
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25C A S E

Carrefour

Managing Channels in a Global Environment

Company Background

French chain Carrefour is Europe’s leading retailer with sales of $121.8 billion in 2009
and the world’s second largest retailer after Wal-Mart. Its slogan is “Everything under
one roof.” The company provides a wide variety of grocery and general merchandise
products in its stores in order to make shopping less time consuming and more pleasant
for consumers.

Carrefour group operates four main grocery store formats: hypermarkets, supermar-
kets, hard discount stores, and convenience stores. The company has over 15,000 stores,
either company-owned or franchises, across 35 countries in Europe, Asia, and Latin
America. In 2009, over 57 percent (US$75.5 billion) of Carrefour’s total sales were gen-
erated from its foreign operations.1 The average store size of Carrefour hypermarkets in
2008 was 5,400 sq.m. (58,125 sq. ft.). In some countries, Carrefour growth formats do
not exceed 3,000 sq.m. (32,291 sq. ft.) because the company tries to adjust its store size
to the needs of each market.2

Carrefour’s primary objective is to make “Carrefour the preferred retailer wherever it
operates.” To accomplish this, the French retailer emphasizes continuous innovation,
transformation, and client-orientation in its retail operations. It also strives to differenti-
ate itself from competitors and provide superior value to its customers by gaining exten-
sive knowledge about their needs, wants, and preferences.3 Carrefour thus gives
considerable decision-making power to local store managers who tend to have a pro-
found understanding of local culture and traditions.4 Further, Carrefour is dedicated to
learning about the needs of not only its individual, but also its business customers. For
example, in 2009 Carrefour opened a new store format called atacadao—“wholesale” in
Portuguese,5 in Bogota, Colombia in a desire to better serve small and medium-sized
store owners in the city. Carrefour also strives to establish strong relationships with in-
digenous suppliers and gain their cooperation in order to tailor its product assortment to
the tastes of each individual market.

1http://www.carrefour.com/docroot/groupe/C4com/Pieces_jointes/CA/2009/COMMUNIQUE_VA%20140110%20
FINAL.pdf
2http://www.carrefour.com/cdc/group/our-group/http://www.carrefour.com/docroot/groupe/C4com/Pieces_jointes/
CA/COMMUNIQUE_UK%20150109.pdf
3http://www.carrefour.com/cdc/group/our-strategy/
4http://www.associatedcontent.com/article/l163056/expanding_to_foreign_markets_the_international_pg2.html
5http://www.carrefour.com/cdc/group/our-business/latest-store-openings/

635

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636 Part 5: Cases

The Need for a Shift in Carrefour’s
International Strategy

Over the years, Carrefour has invested considerable resources in maintaining growth
and improving its performance in its Western European markets, mainly Belgium,
Italy, and Spain. However, due to intense competition from international retailers
such as Auchan, Royal Ahold, Metro Cash and Carry, and Tesco, the company de-
cided to expand to new markets—particularly, Carrefour has been considering
emerging markets in Latin America, Southeast Asia, and Central and Eastern Europe.
The rapid economic growth, improving standard of living, and the increasing popu-
larity of one-stop shopping in emerging markets have made these nations very at-
tractive for Carrefour. The company has thus decided to penetrate countries such as
Brazil, Taiwan, China, Romania, Russia, Chile, the Czech Republic, Turkey, and Po-
land. While Carrefour has been quite successful in gaining market share in some of
these countries, it has faced a number of challenges and, hence, found it necessary to
discontinue its operations in others. For example, after less than a year spent in Rus-
sia, Carrefour decided to exit the market due to unsatisfactory performance and low
prospects for future growth in the country.6 However, Carrefour has not been dis-
couraged from contemplating further entry into a number of Asian, Latin American,
and Eastern European countries. The company has indeed tried to identify potential
growth markets for the future. This has required Carrefour to closely monitor the
opportunities arising in the company’s external environment.7 Exhibit 1 depicts Car-
refour’s current countries of operation along with the retail sales (in US$ million)
and compounded annual growth rate (CAGR) between 2008 and 2013 in each mar-
ket. As can be seen, Carrefour has given high priority to further expansion in a
number of emerging markets such as Turkey, Poland, Romania, Colombia, Poland,
Brazil, and China. Recently, another emerging market—Bulgaria, a former commu-
nist nation in Eastern Europe, which joined the European Union (EU) in 2007—has
also been added to Carrefour’s “opportunity zone” list. The company has carefully
analyzed the Bulgarian market in order to identify prospects for future growth in the
country.

Bulgaria’s Macro Environment

Economic Environment
Thanks to increasing salaries (the average household salary in Bulgaria has increased
from US $2,944 in 1999 to US $6,366 in 2009), tax reductions, and relatively easy access
to consumer credit, Bulgarians have enjoyed higher household income. In 2009, Gross
Domestic Product (GDP) per capita in Bulgaria was $12,500. Between 2004 and 2009
per capita disposable income grew 10.1% in real terms, reaching US $3,137 in 2009.
This has led to a substantial improvement in the standard of living in the country and
increased consumption levels. Hence, the average household consumption expenditure
in Bulgaria has increased from US $2,540 in 1999 to US $6,040 in 2009.8 However,
the global financial crisis has not left the Bulgarian economy intact. Although in 2008

6http://www.carrefour.com/cdc/search-engine/?search=russia&submitter=cdc-navigation
7http://www.carrefour.com/cdc/group/our-strategy/
8http://www.nsi.bg/BudgetHome_e/BudgetHome_e.htm

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Case 25: Carrefour 637

EXHIBIT 1 Carrefour Countries of Operation and Retail Sales by Market*

Carrefour SA - Retailing - Retail Sales rsp excl Sales Tax 2008–2013

9.0

7.5 Turkey China
800,000 900,000
% CAGR 2008–2013 6.0 Romania Opportunity Zone

4.5 Brazil

Colombia

3.0 Poland France
Taiwan
Italy
1.5 Argentina Spain

Greece
0.0

Belgium

–1.5

0 100,000 200,000 300,000 400,000 500,000 600,000 700,000

Market Size 2008 (US million)

Note: Bubble size shows company sales in this sector (2008). Range displayed: US$ 1,273–64,996 million

*Available from Euromonitor International (2010): http://www.portal.euromonitor.com/PORTAL/ResultsList.aspx

Bulgaria’s GDP and total retail sales grew 6% and 3.5%, respectively, during the second
quarter of 2009 the country experienced negative GDP and retail sales growth rates.9

Socio-Cultural Environment

Bulgarians are very open and like to socialize with family and friends. They value their
national culture and observe national traditions. Further, Bulgarian women are active
participants in the labor force. In 2009, the female employment rate was 62.5 % of all
women between the ages 15–64,10 but this does not prevent them from fulfilling their
responsibilities within the family. As Bulgarians prefer eating at home and place great
importance on product freshness, women tend to be “in charge” of preparing home-
made meals as well as making food purchases. In addition, Bulgarian consumers are
value-conscious, but they are increasingly willing to spend more money in order to
obtain high quality products. Bulgarians are not overly concerned with brand names
and, hence, are willing to try and purchase private label goods. Further, fast paced life-
styles have led many people in the country, young professionals in particular, to turn
to one-stop shopping. However, despite the growing popularity of supermarkets and
hypermarkets, many Bulgarians prefer shopping daily in order to get fresh products.
They have thus not totally abandoned small-store shopping. In addition, small stores
and open air markets are generally the preferred shopping outlet for senior citizens
who do not have the ability and resources to travel long distances and purchase large
quantities of products, but represent a fairly significant portion (25%) of the popula-
tion in Bulgaria. In fact, it is expected that for the period 2010–2020, this will
be the only age segment of the population in the country to achieve a positive
growth rate.11

9http://www.nsi.bg/KeyInd_e/Keylnd2009-09.pdf
10http://www.nsi.bg/Labour_e/Labour_e.htm
11Euromonitor Interntional (2010). Future Demographic–Bulgaria.

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638 Part 5: Cases

Political/Legal Environment

Risk in the Bulgarian business environment has fallen slightly over the past few years,
but reforms are still needed for further improvement of the business sector in the coun-
try. Exhibit 2 shows selected indicators of the Bulgarian business environment. The cost
of setting up a business is 1.7 percent of Gross National Income (GNI) per capita and
this process takes 18 days. Obtaining a construction permit costs 436.5percent of GNI
per capita and takes around 139 days. The rigidity of employment index in the country
is 19 (from a total of 100 where 100 indicates high rigidity), which shows that there is
low to medium employment rigidity. In addition, the total tax rate (% of profit), which
measures the amount of taxes payable by a business entity in the second year of opera-
tion, in Bulgaria is 31.4 percent, the corporate tax rate is 10%, and labor tax and contri-
butions (% commercial profits) are 22.9 percent. Seven documents are necessary for
importing, which takes 21 days; the cost to import is US$ 1,666 per container imported.
Finally, it takes 3.3 years to close a business; this costs approximately 9 percent of the
total property value.

EXHIBIT 2 2008 Indicators of Bulgarian Business Environment*

Indicator 2009
Business start-up
Cost (% GNI per capita) 1.7
Duration (days) 18
Dealing with construction permits
Cost (% GNI per capita) 436.5
Time (days) 139
Employing workers
Rigidity of employment (index) 19
Tax rate
Total tax rate (% profit) 31.4
Corporate tax rate (statutory rate) 10
Labor tax and contributions (% of commercial profits) 22.9
Importing
Documents for import (no.) 7
Time for import (days) 21
Cost to import (US$ per container) 1,666
Closing a business
Time (years) 3.3
Cost (% estate) 9

Source: Euromonitor International (2010) based on data from the World Bank
Note: Figures for dealing with construction permits refer to the time and cost of building a warehouse, including licenses
and permits. Rigidity of employment takes into account the difficulty of hiring, the rigidity of hours worked (scheduling of
non-standard work hours and annual paid leave) and the difficulty of firing. The index ranges from 0 to 100 with higher
values indicating a greater measure of rigidity. The cost of importing is recorded as the fees levied on a 20-foot container in
United States dollars. All the fees associated with completing the procedures to import the goods are included. The total tax
rate measures the amount of taxes payable by the business in the second year of operation, expressed as a share of
commercial profits. The taxes included are profit or corporate income tax, Social Security contributions and other labor
taxes paid by the employer, property taxes, turnover taxes and other small taxes.
*Available from Euromonitor International (2010): http://www.portal.euromonitor.com/passport/Magazine.aspx

Copyright 2011 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.

Case 25: Carrefour 639

EXHIBIT 3 Forecast Sales in Store-Based Retailing by Sector

Retail Sector %Value Growth: 09–14 Total
Store-based retailing 2.4
Grocery retailers −1.4
Hypermarkets 24.8
Supermarkets 18.4
Small grocery retailers
Other grocery retailers −16.0
Non-grocery retailers 3.0
Health and beauty retailers 5.1
Clothing and footwear retailers 7.0
Home and garden specialists 8.1
Electronics and appliance specialists 7.2
Leisure personal goods retailers 5.2
Other non-grocery retailers −7.5
5.9

Source: Euromonitor International (2010)

Competitive Environment

According to Euromonnitor International, there is not much growth potential in the Bul-
garian grocery market as the total sales value growth in the sector is expected to decrease
1.4 percent between 2009 and 2014.12 However, hypermarket sales are expected to in-
crease by almost 25 percent and supermarket sales by a little over 18 percent. Small gro-
cery retail sales are expected to decrease by 16 percent over the five-year period.
According to the forecast, in-store sales growth between 2009 and 2014 will be around
2.5 percent for both grocery and non-grocery retailers (see Exhibit 3). Among non-
grocery retail sales, clothing and footwear sales are expected to experience the highest
growth—8.1 percent between 2009 and 2014.

The level of competitive intensity in grocery retailing in Bulgaria is high because a
large number of already established domestic and international supermarket and hyper-
market chains operate in the country. As of 2009, the major players on the retail grocery
market in Bulgaria are Austrian hypermarket chain Billa, local supermarket chains Pica-
dilly operated by Bolyari and Fantastico operated by Van Holding, Hungarian supermar-
ket chain CBA, German hypermarket chain Kaufland, Lithuanian retail chain T-Market
operated by VP Market Bulgaria, and German hypermarket chain Metro Cash and
Carry. Carrefour holds only 0.5 percent of the Bulgarian retail grocery market (see
Exhibit 4). It should be noted that the leading grocery retailers in Bulgaria do not usually
target the same market segment, offer different product assortments, and differ with re-
spect to “easiness” of store access for consumers. Metro Cash and Carry, for example, is
located in suburban areas and, hence, can only be accessed by car or public transporta-
tion. CBA and Fantastico, on the other hand, are located in urban neighborhoods; this
makes them easily accessible for consumers on a daily basis.

12Euromonitor International (2010). Retailing in Bulgaria: Market Data.

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640 Part 5: Cases

EXHIBIT 4 Grocery Retailers Company Shares: % Value 2005–2008*

Retail Company 2005 2006 2007 2008 2009s
Billa Bulgaria EOOD 3.4 3.8 4.1 5.2 5.7
Bolyari AD 1.3 2.1 2.9 3.6 4.2
Van Holding AD 2.4 2.6 2.9 3.7 3.7
CBA Bulgaria AD 1.6 2.6 2.7 3.0 3.2
VP Market Bulgaria EOOD 0.2 1.0 1.8 2.3 2.2
Kaufland Bulgaria EOOD - 0.9 1.4 1.7 2.2
Metro Cash and Carry Bulgaria EOOD 0.7 1.7 1.6 2.0 1.7
Shell Bulgaria EOOD 0.4 0.5 0.5 0.6 0.6
Hit Hypermarket EOOD 0.6 0.6 0.6 0.6 0.5
KOOP Targovia and Turizam AD - 0.2 0.5 0.5 0.5
Carrefour SA - - - - 0.5
Magazini Familia AD 0.5 0.6 0.9 0.7 0.4
OMV Bulgaria EOOD 0.3 0.3 0.3 0.4 0.4
Lukoil Bugaria EOOd 0.2 0.2 0.3 0.3 0.3
Magazini Evropa AD - - 0.3 0.2 0.4
Agro-Industrial EOOD 0.1 0.2 0.2 0.2 0.2
Petrol EAD 0.1 0.1 0.2 0.1 0.2
Ekopetroleum Ltd 0.1 0.1 - - 0.1
Ramstore Bulgaria EOOD 0.8 0.8 - - -
Others 86.8 81.2 78.4 74.0 72.3

Source: Euromonitor International (2010)
*Available from Euromonitor International (2010): http://www.portal.euromonitor.com/passport/ResultsList.aspx

Carrefour’s Strategy in Bulgaria

After carefully examining Bulgaria’s macro-environment, Carrefour management has de-
cided that the country provides ample opportunities for further growth and expansion of
Carrefour’s international operations. According to Jean Antione, Executive Director of
Carrefour Bulgaria, “the Bulgarian market is ready for the concept of modern retailing.”
He pointed out:

Bulgaria is a developing country with a strong potential in the future and the fact that
it has become a member of the European Union further contributed to our decision [to
open a store in the country].

Mr. Antoine also believes that the Bulgarian market is big enough to allow several big
grocery retail chains to coexist and compete.13 So, in March 2009, Carrefour opened its
first store in Burgas, a city on the Bulgarian Black Sea coast and a hot tourist spot during
the summer. The hypermarket has a total sales area of 8,300 sq.m. (89,340 sq. ft.). This is
almost 3,000 sq.m. (32, 291 sq. ft.) more than the size of the average Carrefour hyper-
market and 5,000 sq.m. (53, 819 sq. ft.) more that Carrefour’s regular growth format. In
the store, consumers can choose from 50,000 food and non-food items as well as na-
tional, foreign, and private label (Carrefour-owned) brands. Carrefour Bulgaria works

13http://sofiaecho.com/2009/03/31/697926-sofia-carrefour-to-open-in-february-2010

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Case 25: Carrefour 641

with over 700 local suppliers in an attempt to tailor its product assortment to local tastes
and preferences.14

Christain Charitat, Chief Executive Officer of Carrefour Bulgaria, further noted:

We see some good potential in the market, where we will be opening stores in order to
grow the business.

Thus, between January and April 2010, Carrefour opened hypermarkets in the cities of
Varna, Plovdiv, and the capital, Sofia.15 The French retailer is planning on further expand-
ing its presence in the country by opening stores in the cities of Stara Zagora, Pleven, Do-
brich, and Rousse. As of 2010, The company has eight projects under development in the
country.16 Between 2009 and 2014, Carrefour’s objective is to establish a strong network of
over 30 supermarkets and hypermarkets throughout Bulgaria.17 The company plans to
build stand-alone retail outlets as well as to lease store space in shopping malls. Currently,
the French retailer operates in Bulgaria through a licensing agreement with Carrefour Mar-
inopoulos SA, which also runs Carrefour chains in Greece and Cyprus.18

Carrefour’s Future in Bulgaria

Now that Carrefour has penetrated the Bulgarian market, the company is faced with the
difficult task of implementing a sound channel strategy that will enable it to gain a
strong foothold in the country. Carrefour has operated in a number of emerging markets
over the years, but this is its first acquaintance with the Bulgarian market. Although
countries that fall under the “emerging market” category share certain characteristics in
common such as rapid economic growth as well as constantly changing social and polit-
ical environment, they also differ in important ways such as the speed with which
change is taking place, local culture and traditions, and business customs. So, each
emerging market is unique and while firms may be able to transfer some of their experi-
ence from one emerging market to another, they often find it necessary to adjust to local
conditions. This is even more challenging for international retail chains because they are
in direct contact with all parties—consumers, suppliers, and government officials, who in
one way or another affect their operations in each host country. Carrefour will thus most
likely face a number of difficulties while expanding in Bulgaria, but how it handles these
difficulties will determine the French retailer’s success in the country.

Discussion Questions problems or even prevent them from occurring
in the first place?
1. Discuss some of the issues Carrefour has to
consider while adjusting its store format and 3. Why do you think Carrefour decided to pene-
product assortment to the tastes and consump- trate Bulgaria through a licensing agreement?
tion patterns of Bulgarian consumers. What implications might this have for Carre-
four’s distribution strategy in the country?
2. What are some of the problems that Carrefour
may encounter while working with local suppli-
ers? How can Carrefour overcome these

14http://www.carrefour.com/edc/group/current-news/bulgaria-opening-of-the-1st-carrefour-store.html
15http://www.novinite.com/view-news.php?id=115193
16http://sofiaech.com/2009/03/31/697926-sofia-carrefour -to-open-in-february-2010
17http://sofiaecho.com/2008/12/12/665394-carrefour-to-move-into-bulgaria-despite-crisis
18http://english.alrroya.com/content/carrefour-open-12-stores-bulgaria-2012

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Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.

Acknowledgments

Case 1. This case was written by Bert Rosenbloom, Rauth Professor of Marketing
Management, LeBow College of Business, Drexel University. Reproduced by
permission.

Case 2. This case was prepared by Boryana Dimitrova, Doctoral Candidate in Market-
ing, LeBow College of Business, Drexel University. Reproduced by permission.

Case 3. This case was prepared by Dee Clark, Director, Small Business Development
Center, State University of New York at Plattsburgh. Reproduced by
permission.

Case 4. This case was prepared by Professor Yasuo Doi, Hannan University, Osaka,
Japan. Reproduced by permission.

Case 5. From Talarzyk. Cases for Analysis in Marketing, 2e, pp. 91–95. Copyright
1981 South-Western, a part of Cengage Learning, Inc. Reproduced by permis-
sion. www.cengage.com/permissions

Case 6. This case was prepared by Nancy J. Church, Distinguished Service Professor
of Marketing, State University of New York at Plattsburgh. Reproduced by
permission.

Case 7. This case was written by Joyce A. Young, Ph.D., Professor of Marketing, College
of Business, Indiana State University. Reproduced by permission

Case 8. This case was prepared by Laura A. Peraccio and Jeanne A. Kierman under the
direction of Erin M. Anderson, Professor of Marketing at INSEAD (Fontaine-
bleu, France). Reproduced by permission.

Case 9. This case was prepared by Dennis J. Low, graduate assistant, and Joyce A.
Young, Associate Professor of Marketing, Indiana State University. Reproduced
by permission.

Case 10. This case was prepared by Dave Birgham, Gerry Boccuti, Shawn Buchanan,
Mark Chando, Denise Gabinski, and Mike Tate, students at Drexel University,
in cooperation with Bert Rosenbloom, Professor of Marketing, Drexel Univer-
sity. Reproduced by permission.

Case 11. Philip Kotler, Marketing Management: Analysis, Planning and Control, 3rd ed.,
pp. 507–508. Copyright © 1976. Printed and electronically reproduced by per-
mission of Pearson Education, Inc. Upper Saddle River, New Jersey.

Case 12. This case was prepared by Dr. Bert Rosenbloom, Professor of Marketing,
Drexel University.

Case 13. This case was written by Dr. J. Barry Dickinson, Assistant Professor of Busi-
ness, Holy Family University. Reproduced by permission.

Case 14. This case was adapted from “American Olean Spurs Tile Sales with Incen-
tives,” in Incentive Casebook (Union, NJ: National Premium sales executives
Inc. 1989).

Case 15. This case was prepared by Prof. Dr. Thomas Rudolph, Director, Gottlieb Dutt-
weiler Chair of International Retail Management, Institute of Marketing and
Retailing, University of St. Gallen, Switzerland. Reproduced by permission.

642

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Acknowledgments 643

Case 16. Reprinted with permission from Franchised Distribution by E. Patrick
Case 17. McGuire, Conference Board Report No. 523 (New York: The Conference
Board). © 2010, The Conference Board, Inc. Reproduced by permission.
Case 18.
This case updated and revised by Robyn Rosenbloom. Previously prepared by
Case 19. Heather Frey, Belinda Goldshine, Kimberly C. Rangniro, Patricia Jasmin, T.
Case 20. Ryan Schish, and Joe Morgan, students at Drexel University, in cooperation
Case 21. with Bert Rosenbloom, Professor of Marketing.
Case 22.
Case 23. This case was written by David Matthews, Mandy Warfield, and EmilyWebster,
Case 24. evening MBA Students in the Sellinger School of Business and Management
Case 25. of Loyola University (Maryland) under the direction of Hope Corrigan, Mar-
keting Department, Sellinger School of Business and Management of Loyola
University (Maryland). Reproduced by permission.

This case was written by Bert Rosenbloom, Rauth Chair Professor of Market-
ing, LeBow College of Business, Drexel University.

This case was prepared by Nicole Erard-Coupe, MBA student at Drexel Uni-
versity, Research Assistant for Dr. Bert Rosenbloom.

This case was adapted from “GE Promotes Relighting with Sales Incentive
Offer,” in Incentive Casebook (Union, NJ: National Premium Sales Executives
Inc., 1989), S1b. Reproduced by permission.

This case is based on Armstrong & Associates, Inc. case study “Cat Logistics
Retools Strategy to Support Caterpillar’s Rapid Growth” by Evan Armstrong,
President Armstrong Associates.

Reproduced with permission from Selecting and Evaluating Distributors, by
Roger M. Pegram, Business Policy Study No. 116 (New York: The Conference
Board, 1965). © 2010, The Conference Board, Inc. Reproduced by permission.

This case was written by Daniel Korschun, Assistant Professor of Marketing,
LeBow College of Business, Drexel University. Reproduced by permission.

This case was prepared by Boryana Dimitrova, Doctoral candidate in Market-
ing, LeBow College of Business, Drexel University. Reproduced by permission.

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Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.

Name Index

A Allvine, F. C., 263n20 Ante, S. E., 5n2, 155n11
Aloha Hotels, 448 Antia, K. D., 132n63, 138n91, 166n37, 395n3
AAMCO Transmissions, 115, 448 Alpert, F. H., 293n8 Antione, J., 640
Abell, D. F., 154n7 AlphaGraphics, 116 APlus, 448
Abercrombie & Fitch (A&F), 60 Amazon.com, 4, 33, 56, 63, 65, 82, 92, 94, Apple Inc., 7, 29, 57, 70, 74, 92, 98, 102, 106,
Abratt, R., 495n25
AC Nielsen, 302, 401, 428, 582 106, 131, 155, 174, 184, 193, 281, 294, 184, 230, 314, 337, 352, 420, 532–534,
Accenture, 12 301, 313, 317, 337, 418, 420–421, 421f, 536
Ace Hardware Corporation, 46 424–425, 437 Appliance Parts Distributors Association
Achrol, R. S., 75n2 American Booksellers Association (ABA), Inc., 217
Adams, R., 187n20 98–99, 218 Archontoulis, E., 369n13
Adamy, J., 78n8 American Eagle Outfitters, 93 Aris Isotoner, 362
Adler, S., 612n7 American Express Corporation, 496–497 Armstrong Associates, Inc., 369, 619, 643
Adobor, H., 269n38, 274 American Grinder Manufacturing Arndt, M., 418, 460n31, 513n39
Advance Auto Parts, 58 Company, 565 Arnold, D. R., 281n59, 502n5
Advanced Micro Devices, Inc., 11–12 American Home Products (AHP), 303 ARO Corporation, 399–400
Advertising Publications Inc., 267 American Machine Tool Distributors Aron, J., 610
Aeppel, T., 305n38, 327n16, 402n19 Association, 217 Arslan, M., 249n38
Agilent Technologies, 580 American Management Association, 322 Artle, R., 201n56
Agins, T., 302n31, 331n25 American Marketing Association, 117–119, 279 Ask.com, 436
Agudo, J. C., 266n32 American Nursery & Landscaping Aspinwall, L., 197n46
Ahmed, A. A., 504n10, 509n28 Association, 217 Association of American Publishers, 562
Ahold USA, 56 American Olean Tile Company, 524, 585–586 Association of High Technology
Ailawadi, K. L., 63n31, 330n24, 342n6, 344n15 American Online Inc. (AOL), 12 Distribution, 217
Ajami, R. A., 502n1 American Society of Composers, Authors, Association of Pool & Spa Professionals,
Al-Ansary, A. I., 516n58 and Publishers (ASCAP), 629–630 The, 217
Al-Motawa, A. A., 504n10 American Veterinary Distributors Assurant, 12
Alba, J., 433n30 Association, 217 Atac, O. A., 125n50
Albertsons LLC, 59 Andeleeb, S. S., 487n7 ATG, 249
Alco Standard Corporation, 46 Anderson, E. M., 189n25, 200n52, 266n30, Athlete’s Foot, 448
Alcoa (Aluminum Company of America), 276 269n41, 421n12, 642 AT&T Inc., 12, 443
Alderson, W., 20n33, 46n21, 162n27, Anderson, J. C., 158n19, 161n26, 162n30, Atwong, C. T., 202n62
166n38, 189n26, 260n8, 269n38 Auchan, 636
186n18, 201n57 Anderson, P., 421n12 Audi, 501
Aldi, 58, 79, 524, 587–590 Anderson, R. E., 11n23 Autenrieth, R., 585–586
Alexander, N., 449n6 Anderson, S., 324n9 Autobytel, Inc., 421–422
Alexander, R. S., 304n34–35 Anderson, T., 337–338 Automotive Aftermarket Industry
Alimentation Couche-Tard Inc., 56 Anderson Consulting, 296 Association, 217
All-Clad Metalcrafters LLC, 305–306, 351 Andruss, P., 160n23, 419n5 AutoZone, 58
Allan, B., 105 Angwin, J., 439n48 Avlontis, G. J., 303n33
Allen, K., 236n4 Anheuser-Busch Companies, Inc., 97–98, Avon Products, Inc., 432
Allen, P., 532 265, 332, 336 AvRutick, D., 89
Allstate Corporation, 488

644

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Name Index 645

B Bienstock, C. C., 6n9, 376n33, 382 Brown, J. R., 112n2, 122n30, 122n32,
Big Lots Inc., 59 124n39, 131n55, 133n67, 133n70,
Babakus, E., 133n69 Billa, 639–640 187n22, 343n8, 461n34
Babies “R” Us, 106 Binney and Smith (B&S), 36
Bahn, K. D., 10n19, 112n1, 260n7, 261n13, Biong, H., 229n34 Brown, J. W., 112n2
Bird, M. M., 376n33, 382 Brown, L. H., 202n63
297n21 Birgham, D., 642 Brown, R. B., 44n14
Baker, R. W., 85n30 Bitner, M. J., 486n4 Brown, S. W., 66n40, 486n4
Baker, S., 249n37 BJ’s Wholesale Club, 57, 247 Brown, W. G., 397n12
Baker, T. L., 75n1, 134n81, 236n1, 261n12 Black & Decker Corporation (B&D), 27, Brown Shoe Company, 103
Balabanis, G., 124n41, 367n2 Bruce, N., 342n4
Balderston, F. E., 201n55 269, 271, 357, 411 Buchanan, L., 182n8
Baligh, H. H., 202n58 Blattberg, R. C., 333n33 Buchanan, S., 642
Bally’s Fitness Clubs, 351 Blockbuster, 58, 83, 245 Bucklin, L. P., 11n20, 196n44, 240, 240n6,
Banbdyopadhyay, S., 85n28, 513n38 Bloom, P. N., 348n23–24, 349n28
Bank, D., 421n11 Bloomingdale’s, 246, 247, 302, 305 241n9–10, 266n31, 269n38, 277–279
Bank of America, 12 Blount, T., 554n12 Buckman, R., 103n67
Bardi, E. J., 367n6 Blue Point Tools, 565 Budget Hotels, 448
Barnes & Noble, Inc., 59, 92, 106, 389, 420, Blue Star, 582 Bughin, J., 397n9
BMI, 629–631 Buja, A., 344n13
425, 524, 561–564 BMW (Bayerische Motorren Werke), 153, Burbridge, J. J. Jr., 370n14
Barnett, T. R., 281n59 Burger King, 111, 115, 185, 237, 252, 328,
Barneys New York, 351 166, 174, 209, 276–277, 306, 328, 334,
Barrett, J., 374n25 405, 501 446, 453
Barry, J. M., 495n25 Boatwright, E. W., 248n34 Burkle, T., 280n58
Bass Pro Shops, 60 Boatwright, P., 308n42 Burlington Coat Factory Warehouse Corp., 60
Basu, A. K., 425n19, 487n7 Boccuti, G., 642 Burnett, J. J., 511n30
Basuroy, S., 308n43 Boedecker, K. A., 299n24 Burns, G., 296n16
Beck, A., 6n8 Boggs, D. J., 452n15 Burrett, C., 371n16
Becker, B. W., 266n33 Bognell, J., 399n15, 460n33 Bush, J., 87n37
Becker, H., 266n33 Bohlman, J. D., 319n2 Bussgang, J. J., 420n10
Becker, R. J., 216n8 Bombardier, 619 Bustillo, M., 4, 82n16, 165n34, 245n23,
Beckman, T. N., 50 Bon-Ton Stores, 61
Bed Bath & Beyond Inc., 58 Bonifazi, W. L., 614n10 249n39, 317, 374n24
Bego, G. L., 265n24 Boone, L. E., 12n24, 299n25, 367n5 Butler, D., 125n46
Beier, F. J., 132n64 Borden, Inc., 310 Butner, K., 91n44
Belden, T., 493n16 Borders Group, Inc., 60, 189 Buzz.net, 89
Belk, R. A., 85n28, 281n59, 334n39 Bordonaba-Juste, V., 454n23 Byrne, P., 580, 584
Bell, D. R., 344n15 Borin, N., 63n31, 505n17 Byrnes, N., 423n15
Bello, D. C., 384n41, 506n20, 516n56 Bose Corporation, 506 Byron, E., 248n35, 296n18–19, 331n25, 339,
Ben & Jerry’s, 97, 504, 524, 594–598 Boulay, J., 447n2
Benjamin, R. E., 334n37, 420n10 Boulton, W. R., 45n16 509n27
Bennett, J., 139n93, 166n40, 260n10, Bounds, G., 241n8
Bourdon, E., 319n1 C
405n25, 447n1, 494n22 Bowersox, D. J., 377, 380n36
Bennett, P. D., 82n13, 202n58 Boyd, D. E., 297n21 CACI Marketing Systems, 239
Bennett, S., 453n21 Boyle, M., 82n14, 83n20, 83n23, 131n54, Caelho, F., 19n31
Berfield, S., 223n23, 349n32, 351n33 246n24, 371n16 Caesar, B., 347n19
Berger, M., 102n66 Bra, I., 296n19 Calantone, R. J., 135n84, 165n32, 221n19,
Berglund, S., 201n56 Bracker, J. S., 453n17
Berkshire Hathaway Inc., 61 Brar, S., 281n64 225n27, 259n4, 263n21, 265
Berman, B., 293n4 Brat, I., 78n7, 296n18, 375n26, 402n19 Calderon, S. I., 354n40
Berner, R., 324n9, 343n10 Brendel, L. H., 220n16 Caldwell Banker, 448
Bernhardt, K. L., 266n33 Breven, J., 5n4 Calicchio, N., 506n19
Berry, L. L., 24n35, 486n2, 486n5 Bridson, K., 259n3 Callahan, S., 196n39
Beshel, B., 447n4 Brion, J. M., 205n66 Calvin Klein Inc., 302
Best Buy Co, Inc., 5, 55, 63, 70, 82, 93, Bristol, W. M., 609 Camera Store, 337–338
Bristol Farms, 214 Campbell, D. P., 386n46
105–106, 207–208, 249–250, 317, Bristol-Myers Corporation, 609 Campbell Soup Company, 343, 487
532, 536 Bristol-Myers Squibb (BMS), 524, 609–616 Cannon, H. M., 87n36
Betancourt, R., 63n31 Brooks, C. M., 449n7 Cannon, J. P., 348n23–24, 349n28
Bezos, J., 155, 184 Brooks, R., 371n17, 387n49 Canon Inc., 46
Bhasin, A., 344n15 Brooks Brothers, 432, 525 Capell, K., 366
Bic Corporation, 165, 284 Capital Cities/ABC Inc., 103
Bicycle Product Suppliers Association, 217 Carewa, 497–498
Biddle, B. J., 134n79 Carrefour S.A., 524, 635–641
Carry, 636, 639–640
Carter, J. R., 367n2

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646 Name Index

Cartridge Depot, 463 Cleveland, M., 87n36 D
Cartridge World, 463 Clewett, R. M., 20n33
Cartwright, D., 125n50 Clinton Pharmaceutical, 609 Dahl, R. A., 125n45
Casey’s General Store, 59 Closs, D. J., 377 Dahlstrom, R., 112n1
Casper, C., 372n20 Cobb, A. T., 131n55 Daimler, 619
Casper, W. R., 302n29 Coca-Cola Company, 7, 184, 271–272, 343, Dairy Queen, 130–131
Caswell-Massey, 67 D’Amico, M. F., 43, 43n12
Catalog Resources, Inc., 67 349, 447, 518 D’Andrea, G., 87n34
Catan, T., 98n56 Coelho, F., 182n6 Danenburg, W. P., 38n5
Caterpillar, Inc., 10, 159–160, 162, 166, 172, Cohen, B., 594–594 Danes, J. E., 133n70
Collective Brands, 60 Dant, R. P., 113n10, 124n38, 488n10
223, 266, 274–276, 619 Collier, J., 6n9 DAP Technologies, 581
Caterpillar Logistics Services, Inc. Comcast Corporation, 83 Darter Inc., 44
Commodity Chemical Company, 203–204 Datalogic, 581
(Cat Logistics), 524, 619–622 Compaq Computer Corporation, 102 Daugherty, P. J., 375n29
Cattani, K., 166n39, 333n31 Compeau, L. D., 229n30 Davidson, W. R., 50
Cavinato, J. L., 367n4 CompUSA, 532, 536 Davies, G., 259n2
Cavusgil, S. T., 506n21, 511n31 ComScore, 78 Davies, L., 330n23
CBA, 639–640 Consolidated Computer Components, 556, Davis, G., 215n3
CBS College Publishing, 642 Davis, T., 367n2
CDW Corporation, 45, 57 558 Day, G. S., 168n44
Cebrowski, J. W., 409n28 Converge.com, 189 Day, R. L., 122n30
Celly, K. S., 266n28, 271n48 Cook, V. J. Jr., 162n27 De Jong, A., 23n34
Centers for Disease Control and Prevention, Cooper, B., 66n40 De Ruyter, K., 23n34, 486n6
Cooper, K., 4 Decker, E., 16n29
613 Cooper & Brass Servicenter Association, 217 Deere & Co., 394, 402
Century 21 Real Estate, 280, 448 Cordozo, R. N., 219n13 Defense Commissary Agency, 58
Ceramic Tile Distributors Association, 217 Corey, E. R., 165n35, 395n1 Dekimpe, M. G., 438n44
Cespedes, F. V., 18n30, 134n76, 165n35, Corning Consumer Products Co., 373–374 Del Bosque Rodriguez, I. R., 266n32
Corning Inc., 373 Delevingne, L., 215n2
195n37, 395n1 Corral, O., 554n6 Delhaize America, 56
C.F. Martin & Company, 208 Corrigan, H., 604, 643 Dell, M., 195
Chando, M., 642 Corriveau, G., 186n17 Dell Inc., 11, 57, 94, 102, 125, 153, 184, 195,
Chang, D. R., 189n30 Cost Cutters Family Hair Care, 448
Chang, J., 180n4 Costco Wholesale Corporation, 55, 63, 101, 199, 269, 434, 438, 518
ChannelAdvisors.com, 6 Delta Air Lines, Inc., 430, 432, 525–526
Charitat, C., 641 247, 294 DeMarco, A., 361
Charles Schwab & Company, 494 Cote, J. A., 133n72 Desai, P. S., 321n4, 342n4
Chemdex.com, 189 Couette, Y., 594 Dholakia, N., 247n27
Chen, G., 237n5 CountryWatch, 519 Dholakia, R. R., 247n27
Chen, R. W. K., 453n18 Cousins Submarines Inc., 208 Dholakia, U. M., 245n17
Cheng, J. M., 461n36 Cox, B., 631 Di Benedetto, C. A., 151n3
Cheng, T. C. E., 90n40 Cox, K. C., 454n24 Diageo PLC, 326
Cheplin Laboratories, 609 Cox, R., 16n28, 121n25, 186n18, 241n9, Diamond, N., 631
Child, P., 502n4 Diaz, A., 512n33
Chintagunta, P. K., 199n49 263n20 DiBenedetto, C. A., 225n27
Choi, S. C., 319n2, 325n11 Coyle, J. J., 367n6 Dickinson, J. B., 642
Chou, D. C., 195n36 Craig, C. S., 113n11, 122n32, 155n13 Dickinson, R., 66n40, 229n32, 344n15
Christopher, M., 376n30 Craig, T., 294n13 Dick’s Sporting Goods, 59, 69
Chrysler Group LLC, 76–77, 113, 139, Cravens, D. W., 151n2 Dickson, P. R., 11n21, 170n46, 397n12
Credeur, M. J., 371n15 Didow, N. M., 132n62, 134n78
141–142, 166, 188, 209, 260–261, 447 Crescent Ridge Dairy Inc., 241 Dillard’s, Inc., 58
Chu, J., 199n49 Crompton, J. L., 488n9 Dimatrova, B., 87n35, 243n12, 516n57,
Chu, W., 293n5, 321n4 Cron, W. L., 323n6
Church, N. J., 642 Cronin, J. J. Jr., 115n16, 134n81, 266n30, 642–643
Church, W. H. Sr., 548 Dion, P. A., 259n6
Cipolloni, M., 554n8 396n5 Direct Marketing Dynamics, 614
Circuit City Stores, 82, 105, 209 Crosby, L. A., 266n30 Dodes, R., 246n26
Cisco Systems, Inc., 11, 12, 281–282, 383 Cross, J. C., 334n37, 495n23 Doherty, A. M., 449n6, 451n12
Clark, B., 537 Cross, K., 189n28 Dolan, M., 405n25
Clark, D., 537, 642 Crovitz, L. G., 74 Dollar General Corp., 57, 79
Clark, R., 375n27 Curhan, R. C., 344n15 Dollar Tree, Inc., 59
Clarkin, J. E., 453n17 Curtice-Burns Foods, Inc., 347 Dominguez, L. V., 503n8
Clark’s Flower Shop, 524, 537–539 CVS Caremark Corporation, 55, 344 Doney, P. M., 495n25
Classmates.com, 89 Czinkota, M. R., 87n32, 243n11, 502n3,
Claxton, M., 544, 546–547
505n16

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Name Index 647

Dong, Y., 373n23 Eroglu, D., 514n42 Flandez, R., 460n32
Donthu, N., 292n1, 449n7 Esper, T. L., 367n2 Flextronics International Ltd., 383
Dou, W., 195n36 ESRI Business Solutions, 239 Flight, R. L., 452n15
Douglas, S. P., 82n15 Estee Lauder Inc., 514 Florists Transworld Delivery Association
Doug’s TV, 45, 46 Etgar, M., 122n32, 131n56, 133n66, 134n75
Dowd, L. P., 242 Ethan Allen College, 280 (FTDA), 218, 537
Dowling, B., 269n38 Ethan Allen Global, Inc., 84, 280, 518 FlowerBuyer.com, 537
Dresner, M., 373n23 Ethical Coffee Company, 175, 608 F&M Distributors Inc., 314
Dreyfuss, J., 399n17 Etonic, 297 Folbot, S. C., 89
Dreze, X., 344n15 Ettenson, R., 181n5, 225n24 Folbot Inc., 89
Drucker, P., 155n9 Etter, L., 62n28 Food and Drug Administration (FDA),
Drug Guild, 83 Etzioni, A. W., 125n47
Duarte, M., 259n2 Euromonnitor International, 639 610–611, 613–614
Dubinsky, A. J., 11n23 Evan, W., 10n17 Food Marketing Institute (FMI), 124, 217
Dudnyk Company, 585 Evan Picone Inc., 358 Foot Locker, Inc., 58
Duff, M., 225n28 Evans, J., 259n3 Foran, M. F., 112n2
Duhan, D. F., 334n39 EVERSAVE.com, 78 Ford, I. D., 516n55
Dunkin’ Donuts, 78, 466–483, 517–518, 524, Ewing, J., 192n32 Ford Motor Company, 76, 113, 166, 174,
Expedia, 423, 493
591–593, 599–600, 602 Express Scripts, 246 188, 298, 405, 447, 619
DuPont, 157 ExxonMobile, 447 Forrest, S. A., 247n30
Dupuis, M., 64n35 Eyuboglu, N., 8n12, 125n50, 131n56, Forster, J., 184n12
Durfee, T., 237n5 Fort Howard Corporation, 44
Dutta, S., 102n66 132n62, 182n7, 260n7, 344n13 Foster, R. J., 120n24
Dwyer, F. R., 75n1, 82n15, 112n1, 123n36, FourSquare, 208
F Foust, D., 332n27, 354n39
133n68, 200n52, 409n30 Fowler, G. A., 4, 33, 82n16, 93n51, 167n41,
Dylan, B., 631 Facebook, 5, 19, 89, 106, 208, 218, 262, 342,
352–353, 358–359, 419, 425, 430, 432, 351n35–36, 420n7, 425n22
E 438, 443, 525–526, 528–529 Fram, E. H., 215n1, 439n47, 502n1
FRAM Corporation, 344–346, 345–346f
Easingwood, C., 49n31, 182n6 Family Dollar Stores Inc., 58, 248 Francis, T., 506n19
East Coast Auto Supply, 389–390 Family Mart, 448 Frank, R., 157n15
Eastern Technologies, 556 Fantastic Foods, 295 Frankel, S., 131
Eastman Kodak, 503–504 Fantastico, 639 Franses, P. H., 199n47
Eaton, 619 FAO Schwartz, 252 Frazer, L., 453n21
EBay Inc., 33, 79 Farmers Market Coalition, 235 Frazier, G. L., 10n17, 122n32, 132n59,
Eckrich, D. W., 266n33 Farouk Systems Inc., 390
Eden Foods, 295 Farrell, C., 323n7 132n63, 133n67, 138n91, 166n37,
Editor and Publisher, 239 Farris, P. W., 63n31, 241n7, 342n6, 505n17 200n52, 248n34, 259n1, 261n13,
Edward D. Jones & Co., L.P., 30, 155–156, Favaro, K., 75n1, 76n3 266n28, 266n30, 271n48, 323n6, 395n3,
Federal Express (FedEx), 66, 159, 389, 538 502n6, 513n35, 513n37
156f Federal Trade Commission (FTC), 95, 98– Fredrix, E., 424n18
Edwards, C., 63n33 Freeman, S., 266n29, 333n32
Egan, C., 187n24 99, 102, 127, 348, 463 French, J. R. P., 125n50
Ekopetroleum Ltd, 640 Fein, A. J., 189n25 Fresh Market, The, 64
El-Ansary, A. I., 103n68, 281n60 Feitzinger, E., 311n49 Frey, H., 643
Electron Inc., 557 Feldman, A., 494n21 Friedman, L. G., 236n1
Elgass, G. A., 242 Fern, E. F., 124n39 Frito-Lay North America (FLNA), 92, 183, 225
Ellinger, A. E., 375n29, 377n35 Fernandez, J., 463 Fujitsu, 581
Ellis, P. D., 409n31 Ferrin, B. G., 367n2 Funkhouser, G. R., 245n18
ELM Global Logistics, 67 Few, K. S., 263n20 Furniture Medic, 448
Elsevier Publishing Co., Inc., 222 F.F. Despard, 45 Furniture.com, 65
Emeril Lagasse, 351 Fiat, 209
Emerson Electric Company, 619 FilmDistrict, 285 G
EMI, 74 Findlay, S., 612n5, 613n8
Energizer Holdings, 156 Fine, J., 78n6, 267n34 Gabinski, D., 642
Engardio, P., 383n40 Firal, F., 113n10 Gaillard, J., 608
English, J. B., 281n59 Firestone Tire & Rubber Company, 83, 103 Galbraith, J. K., 85n30
Envirosell, 350 First Group, 595 Gallo Wine Company, 127
Eppen, G. D., 333n33 Fisher, R. J., 136n86 Galskowsky, N. A., 376n30
Erard-Coupé, N., 643 Fisk, R. P., 486n4 GameStop Corporation, 57
Erem, T., 260n7 Fites, D. V., 10n16 Ganitsky, J., 514n41
Ericsson, 383 Fites, D. V., 159, 159n21, 223n21, Gap Inc., 6, 56, 366
Ernst, R. L., 279 Gargoyles Performance Eyewear, 314
266n26 Garr Consulting Group, 383–385
Garrahan, M., 236n2

Copyright 2011 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.

648 Name Index

Gaski, J. F., 112n6, 133n70 Granzin, K. L., 10n19, 85n28 Haueisen, W., 248n34
Gassenheimer, J. B., 112n7, 135n84, 229n33, Grape, 459–460 Hauri, C. G., 344n15
Graybar Electric Co. Inc., 195–196 HauteLook Inc., 442–443
259n3, 263n21, 265 Great Atlantic & Pacific Tea Company, The Haverty, J. L., 402n18
Gassenheimer, J. G., 259n4 Hawes, J. M., 75n1, 134n81
Gates, B., 532 (A&P), 57 H.E. Butt Grocery Co., 56
Gazelle.com, 33 Green, H., 184n15, 187n22 Health Industry Distributors Association, 217
Gegez, E., 249n38 Green, P. E., 201n57 Healthpoint Technologies, 491–492
Gelb, B. D., 486n4, 502n6 Greenfield, J., 594–595 Heese, S., 166n39
Gelb, G. M., 486n4 Gresham, A. B., 386n45 Heide, J. B., 102n66, 229n34, 259n2,
General Electric Company (GE), 157, 524, Gresham, L. G., 24n35, 132n58
Grether, E. T., 16n28 265n23
557, 617–618 Grewal, D., 437n43 Heide, J. R., 166n38
General Mills, Inc., 83, 184, 295 Grey Associates, 556 Heil, O. P., 293n6
General Motors Company (GM), 76–77, Greyston Community Network, 595 Heine, C., 355n41
Griffith, D. A., 8n13 Helliker, K., 185n16, 295n14, 434n37
113, 166, 188, 260, 447, 501 Griffith, D. E., 299n24, 344n15, 354n37 Hemstead, R., 570
Geni.com, 89 Grisham, J., 301 Henkel Consumer Adhesives, 293–294
George, W. R., 486n4 Gross, W., 261 Hensen, J. P., 377n35
Gerlich, R. N., 168n43, 293n6, 348n27 Grossman, A., 433n34 Hensen Natural Corporation, 7
Gerstner, E., 342n5 Grosso, C., 432n27 Herbig, P., 504n13
Geyskens, I., 266n32, 405, 405n26, 438n44 Grove, R., 488n11 Herring, R., 44n14
Ghemawat, P., 506n22 Grow, B., 269n43 Herr’s, 225
Gianotten, H. J., 124n39, 162n29, 229n32 Grunhagen, M., 452n15 Heskett, J. L., 376n30
Giant Eagle, 57 GSI Commerce, 69 Hess, J. D., 342n5
Gibson, B., 367n6 GTE Corporation, 285 Hewlett-Packard Co., 94, 102, 125, 463
Gibson, R., 111, 115n18, 446, 449n8, Gu, F. F., 342n2 Hhgregg Inc., 105
Guggenheim, A., 397n9 Hibbard, C., 535
453n19, 455n26, 459n29 Guiltinan, J. P., 180n3, 248n33, 304n34, 325n11 Hibbard, J. D., 124n40
Gielens, K., 438n44 Guinan, P. J., 6n10 Higby, M. A., 200n50
Gierke, M., 274n52 Guirdham, M., 85n30, 183n9 Hilton Worldwide, 514
Gilbert, F. W., 386n44 Gundlach, G. T., 347n22, 348n23–24, 349n28 Hingley, M., 367n7
Gill, J. D., 513n35 Guo, C., 243n13 H.J. Heinz Co., 78, 295
Gill, L. E., 134n80 Gupta, M., 367n2 Hlavacek, J. D., 44n13, 221n17
Gilland, W., 166n39 Gupta, S., 319n3 Hodges, J., 554n11
Gilliland, D. I., 516n56 Gutierrez, H. S., 266n32 Hof, R. D., 424n17
Gilmour, M., 194n34 Hoffman, R. C., 451n12
Gilt Groupe, 442 H Hoggatt, A. C., 201n55
Glass, J., 293n3 Holiday Inn, 280, 412, 491
GlaxoSmithKline (GSK), 202 Habib, G. M., 511n30 Hollander, S. C., 85n30
Glidden, 397 Hacker, R. H., 505n16 Holmberg, S. R., 449n10
GlobalEDGE, 519 Haenlein, M., 430n25 Holmer, A. F., 612
Glover, D. R., 343n9 Hagel, J. III, 63n34 Holmes, S., 351n34
GNC (General Nutrition Centers), 448 Hahn, M., 189n30 Holstein, W. J., 513n37
Goehle, D., 38n5 Hall, M. L., 85n30 Holton, R. H., 85n30
Gogoi, P., 308n41 Hallmark Cards, 67 Home Depot, 5, 14f, 15, 55, 63, 83, 93, 105,
Goldman, A., 505n14 Hamm, S., 310n45, 502n2
Goldshine, B., 643 Hammond, J. S., 154n7 131, 252, 269, 298, 325, 397
Goldstucker, J. L., 85n28 Hanmen-Lloyd, S. A., 263n22 Home Testing Institute, 576
Gome, 518 Hannas, 349–350 Honeywell International, 12, 581
Gomes, R., 376n32 Harding, B., 230–231 Hoover Company, 126, 310
Gomez, M. I., 344n14 Hardy, K. G., 180n1 Horsburg, S., 490n12
Goodman, L. E., 259n6 Harich, K. R., 196n43 Hossain, M. M., 435n38
Goodyear Tire and Rubber Co., 103, 216, 327 Harley-Davidson Inc., 284, 619 Hossain, T., 452n16
Google, Inc., 12, 29, 179, 436 Harper, S., 296n17 Hotwire.com, 423, 493
Gordon, G. L., 170n47, 225n27 HarperCollins, 313 Household Goods Carriers’ Bureau (HHG),
Gordon, R. M., 196n44 Harris Interactive, 611
Gore, A., 90 Harris-Teeter, 60 371
Gorman, R. H., 113n8 Hartman, C., 261n13 Hovingh, H., 114n15, 349n31
Gould, S. J., 488n9 Harvey, M., 182n7 Howard, B., 556
Goutschi, D. A., 63n31 Hassler, B., 556, 558–560 Howell, D., 223n22, 345n18
Goya Foods Inc., 252 Hassler, J., 556, 559 H&R Block, 463
Graham, J. L., 293n8 Hassler & Howard Inc., 524, 556–560 Hsieh, T., 160, 425n20
Granada Guitar Company, 21 HSN (Home Shopping Network), 61
Grant, P., 5n5

Copyright 2011 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
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Name Index 649

Huang, M., 36n2 Jaguar Cars Ltd., 298, 389 Keller, S. B., 377n35, 396n5
Hudson, K., 93n53 Janakiraman, R., 437n43 Kelley, S. W., 112n7, 259n3
Hughes, T., 49n23 Janiszewski, C., 433n30 Kellogg Company, 343
Hulman, A. Jr., 553 Jannarone, J., 83n21, 258 Kelly, C., 196n41
Hult, A. M., 262n15, 378 Jargon, J., 78n8, 303n32, 307n39 Kelly, E. J., 197n46, 198
Hult, G. T., 377n34 Jasmin, P., 643 Kelly, J. P., 486n4
Hult, T. M., 262n15 J.D. Power & Associates, Inc., 153, 156, 164, Kelly, J. S., 122n32, 248n34
Hulu, 5, 236, 245, 251 Kelly, L., 236n4
Hume, S., 603 298 Kelly, M., 93
Hunt, K. A., 116n21, 119n23, 133n70, 261n13 Jefferson Industries, 141 Kendall, B., 101n64
Hunt, S. D., 112n5, 132n65 Jenkins, H. W. Jr., 490n13 Kenderdine, J. M., 299n24, 344n15, 354n37
Hussain, D., 449n7 Jennings, M. M., 98n58 Kennedy, A., 100
Hutchinson, W. M., 380n37 Jenny Craig International, 448 Kennedy, K., 33
Hutt, M. D., 180n3 Jensen, S., 30 Kennedy, P., 613
Hy-Vee, 58 Jeter, D., 351 Kentucky Fried Chicken (KFC), 237
Hyatt Legal Services, 496, 514 J.H. Collectibles, 358 Kenyon, G., 367n8
Hyde Athletic Industries, 297–298 Jobs, S., 155, 337 Kerin, R. A., 342n7
Hyde Industrial Chemicals, 544 John, G., 166n38, 200n52 Kesmodel, D., 180n2, 326n12–13, 332n27,
Hyde-Phillip Chemical Company, 524, John Paul Mitchell Systems, Inc., 231
Johnson, D. S., 419n3 343n11
544–547 Johnson, J. C., 375n28 Ketchen, D. J. Jr., 377n34, 378
Johnson, J. L., 105, 133n72, 166n36, 269n42, Kharif, O., 419n4, 432n29
I Kia Motors, 619
505n18, 565 Kierman, J. A., 642
IBM (International Business Machines), 37, Johnson, R., 84n25, 112n3, 130n53, 448n5, Kim, J., 509n26
94, 102, 199, 438, 503, 532 Kim, K., 131n57, 133n74, 277n57
459n30 Kim, N., 342n2
Iglesias, V., 225n26 Johnson & Johnson (J&J), 314 Kim, S. Y., 342n3
Ignacio, L., 225n26 Johnston, L., 141 Kimberly-Clark Corporation, 248
Ihlwan, M., 269n43 Jones, G. W., 342n7 King, R. L., 85n28, 168n43, 397n12
IKEA, 61, 87 Jones Apparel Group Inc., 129, 174, 231, 331 Kingshott, R. P. J., 112n7, 229n31
IMS Health Consulting Firm, 611 Jones New York, 302 Kinney Shoe Corporation, 103
Independent Grocers’ Alliance (IGA), 83 Josar, D., 554n9 Kirpalani, V. H., 506n21, 508n25
Ingene, C. A., 319n2 Joseph, P., 620 Kirsh, T., 557
Ingles Markets, 60 Joshi, A. W., 201n54, 269n40 Kistner, L. J., 151n3
Ingram Micro, 582 Jussaume, R. A. Jr., 229n31 Kiwi, 303
Inlow, N. S., 99, 99n60 Klein, D. M., 42n8, 396n5
Innovative Toys Inc., 524, 572–579 K Klein, S., 200n52, 502n6, 514n43
INSEAD, 642 Kleinberg, E. M., 262n18
Insight-Express, 611 Kabadayi, S., 8n12, 182n7 Knapp, J., 85n30
Inter Continental Hotels Group PLC, 412 Kahn, B. F., 245n17 Knight, A., 561–562
Intermec Technologies (Intermec), 580–584 Kale, S. H., 513n35 Kocas, C., 319n2
Intermerc, Inc., 524 Kallyanam, K., 437n43 Kochan, T. A., 113n11
International Association of Plastics Kalwani, M. U., 396n6 Koder, P., 204
Kalyanam, K., 281n64 Koehring Company, 524, 623–628
Distributors, 217 Kamar, V., 75n1 Kohl’s Corporation, 56, 64, 247, 302
International Game Technologies (IGT), 505 Kamen, J., 329n20 Konica Minolta Business Solutions, 11–12
International Speedway Corporation (ISC), Kamins, M. A., 293n8 KOOP, 640
Kanaley, R., 161n25 Kopp, R. J., 344n15
553–555 Kane, Y. I., 98n56, 155n12 Korshun, D., 643
Iocobucci, D., 344n15 Kannam, P. K., 293n7, 437n43 Kosenko, R., 513n37
Ireland, L. C., 438n45 Kaplan, A. M., 430n25 Kotler, P., 151n1, 203n64–65, 249n41,
Irwin, R. D., 151n2 Kapoor, A., 296n17
Ishida, C., 461n34 Kasualis, J. J., 132n62, 344n15, 354n37 367n1, 367n3, 407n27, 642
Ivie, R. M., 376n30 Katsikeas, C. S., 513n40 Kovar, J. F., 262n17
Iyer, G., 319n2 Kaufland, 640 Kraft Foods Inc., 187, 258, 295, 343, 352
Kaufmann, P. J., 100n62, 114n13, 196n44, Krantz, J., 353
J Krapfel, R. E. Jr., 132n61, 376, 376n32
449n7, 453n20, 495n24 Krasilovsky, M. W., 631n2–3
J. C. Penney Company, Inc., 56, 63, 89, 302, Kavi, S., 515n49 Kreindler, P., 6n9
524–530 Kay’s Kloset, 100 Kroff, F., 502n2, 504n12
Keegan, W. J., 502n3 Kroger Co., 55, 115, 295
Jackson, A., 220n14, 461n35 Keen, C., 486n6 Kroll, K. M., 433n31
Jackson, D. M., 43, 43n12 Keenan, F., 274n51
Jackson, D. W. Jr., 11n23, 16n30, 123n34, Keith, J. E., 11n23, 123n34, 183n10, 266n30,

183n10, 196n41, 266n30, 266n33 266n33
Jacobs, L., 502n2
Jacobson Companies, 70

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Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.

650 Name Index

Kumar, N., 124n40, 124n43 Limited Brands, 57 Marks, N. E., 99, 99n60
Kumar, S., 367n8 Lin, J. Y., 461n36 Marriott International, Inc., 448, 488
Kumar, V., 5n6, 85n28, 151n3, 428n23 LinkedIn, 89, 218, 262, 419, 438, 525, 529 Marshalls, Inc., 65
Kung, M., 420n7 Lipha, 609 Martin, T. W., 78n7, 115n17, 236n3, 331n26
Kurtz, D. L., 12n24, 299n25, 367n5 Little, R. W., 281n61 Marvin, M. P., 269n38
Little, T. E. Jr., 260n7 Maskulka, J. M., 334n39
L Liu, A., 369n13 Mass Retailing Institute (MRI), 218
Liu, H., 181n5 Master Furriers Guild of America (MFGA),
LaBahn, D. W., 196n43 Liz Claiborne Inc., 129, 331, 358
Lacayo, J. A., 512n33 L.L. Bean, 418 218
Lafontaine, F., 495n24 Lloyd, M. E., 80n11, 249n39, 269n39 Master Lock, 231–232
Lague, D., 511n32 Lockshin, A. B. Q., 511n31 Material Handlers Equipment Distributors
Lahart, J., 486n3 Loctite Corporation, 262
Lai, K., 90n40 Lodish, L. M., 266n30 Association, 217
LaLonde, B. J., 376n31 Lohtia, R., 368n12, 384n41 Matlack, C., 64n36
Lamb, C. W. Jr., 488n9 Lomax, A., 603 Mattel, Inc., 63, 165
Lambert, D. M., 180n3, 396n4 Longman, D. R., 205n67 Matthews, D., 604, 643
Lambert, E. W., 199n48 Longman, M., 347n19 Mattila, A. S., 325n11
Land Rover, 619 Loopt, 443 Mattioli, D., 92n47
Land’s End, 433 Lopez-Aleman, B., 87n34 Mayo, M. C., 397n12
Lane, R., 394 Lord & Taylor, 246, 302 Maytag Corporation, 305–306, 442
Langley, J., 367n6 Loulou, R., 319n3 Mazda Motor Corporation, 619
Laroche, M., 87n36 Lovelock, C. H., 486n2, 486n5 McAfee, Inc., 12
Larsen, T. L., 112n7, 189n27, 195n38, Low, D. J., 642 McAllister, L., 349n30
Lowe, L. S., 334n38, 335n40 McCammon, B. C. Jr., 82n13, 83n24, 266n31
281n63, 502n4, 514n41, 514n45, Lowe’s Companies, Inc., 15, 55, 83, 269, 325, McCartney, P., 74
515n48, 515n52, 516n54, 516n57 McCloskey, A., 612
Larson, P. D., 192n33 360–361 McConnon, A., 485
Las Vegas Convention and Visitors Au- Lowry, J. R., 514n42 McCorkle, D., 247n32
thority, 552 Lucas, G. H., 132n58 McCrohan, K. F., 334n38, 335n40
Laskey, H. A., 122n31, 344n16 Lucent, 383 McCuistion, T. J., 44n13, 221n17
Lassar, W., 383n39 Luck, D. J., 301n28 McCullough, J., 505n18
Laura Ashley, 67 Lukas, B. A., 262n15 McDaniel, S., 386n45
Lawrence, B., 453n20 Lukoil, 640 McDonald’s Corporation, 78, 84, 111, 115,
Laythem Corporation, 560 Lumpkin, J. R., 488n10
Lazarus, C. Y., 64–65, 64n38 Luo, L., 293n7 185, 237, 252, 280, 284–285, 328, 448,
Lazer, W., 197n46, 198 Luqmani, M., 38n5 514, 524, 599–603
Lee, D. Y., 133n73 Lusch, R. F., 41n7, 112n2, 115n16, 122n29, McDonell, J., 326
Lee, H. L., 311n49 McGann, A. F., 112n2
Lee, K. S., 112n1 131n55, 132n60, 133n66, 133n70, 192n33 McGarry, E. D., 11n20, 186n18
Lee, N., 629, 633–634 Lutz, R., 433n30 McGoldrick, P. J., 181n5
Lee, S., 292n1 Luxottica Group, 59, 174 McGraw-Hill Companies, Inc., 11–12,
Leegin Creative Leather Products Inc., 100 Lynch, J., 433n30 561–563
Lehmann, D. R., 330n24 Lynn, F., 205n68 McGuire, E. P., 451n13, 642
Leibowotz, J., 357n43 McKay, B., 184n14, 295n15
Lenderman, M., 266n25 M McKesson Corporation, 44–45, 92
Lenon, J., 74 McKinsey & Company, 347, 357
Leone, R. P., 75n1, 85n28, 151n3 Machado, F. S., 329n21 McLaughlin, E. W., 294n12, 344n14
Leung, K., 433n36 Machionne, S., 260 McMullen, R. S., 269n38, 274
Levi Strauss & Company, 98, 268, 309, 514 MacKenzie, S. B., 319n2 McQuiston, D. H., 10n18
Levitt, T., 302n30 Macy’s, 55, 62–63, 83, 93, 129, 302 McVey, P., 66n42, 260n9
Levy, M., 19n32, 342n7 Magazini, 640 McWilliams, G., 103n67
Lewis, M. C., 396n4 Magnavox, 326 Meer, D., 75n1, 76n3
Lewis, W. F., 259n5 Magrath, A. J., 180n1 Mehta, R., 11n23, 112n7, 281n63, 502n4,
Lexmark International, Inc., 125 Maier, E. P., 202n61 514n41, 515n48, 515n52
LG Electronics Inc., 269 Makovec, M., 502n5 Meijer, Inc., 56
Liberty Media, 57 Malholtra, N., 402n18 Meineke Care Care Centers, Inc., 448
Libresco, J. D., 420n10 Mallen, B., 37n3, 205n67 Menards, 57
Lichtenthal, J. D., 131n56 Maltby, E., 113n9, 455n25 Menedez, J., 390
Lieberman, J., 333n33 Maltz, E., 138n91 Menezes, A. J., 202n61
Light, D. H., 488n9 Malz, A., 375n29 Menswear Retailers of America (MRA), 218
Light, J., 496n28 Malz, E., 375n29 Mentzer, J. T., 11n21, 133n70, 158n16,
Lilien, G. L., 250n42 Mantrala, M. K., 308n43 367n2, 376, 376n32–33, 382
Marchionne, S., 139 Mercedes-Benz, 174, 405, 501

Copyright 2011 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.

Name Index 651

Merck & Company, 209 Murphy, D., 511n32 National Premium Sales Executives Inc.,
Merck Sante S.A.S., 609–610, 613 Murphy, K., 48n22 642–643
Merenski, L. P., 259n5 Murphy, P. R. Jr., 375n28
Merrick, A., 216n7, 333n34 Musgrave, B., 553n4, 554n10 National Retail Hardware Association
Merry Maids, 448 Musso, F., 297n22 (NRHA), 218
Messinger, P. R., 63n31 Muylle, S., 425n19
Metals Service Center Institute, 217 Myers, J. R., 609 National Retail Merchants Association
Metlife Company, 496 MySAP.com, 195 (NRMA), 218
Metro Cash, 636, 639–640 MySpace, 89, 419, 425, 430, 438, 525, 529
Meyer, D., 377n34, 378 National Shoe Retailers Association
Meyers, G., 262n16, 262n19 N (NSRA), 218
Meyers, J., 151n4
Michael Kors, 331 Nabisco Foods, 300–301, 306 National Tire Dealers and Retreaders
Michaels, 60 Naik, G., 46n20 Association (NTDRA), 218
Michie, D. A., 133n70, 134n77 Narasimhan, C., 63n31, 367n2
Michman, R. D., 42n8, 196n42, 249n38 Narayandas, N., 396n6 National Wood Flooring Association,
Microsoft Corporation, 12, 37, 94, 102–103, Narus, J. A., 44n13, 158n19, 161n26, 162n30, 217

282, 497–498, 524, 532–536 166n38, 189n26, 260n8, 269n38 Naver, J. C., 186n18
Midas Inc., 411–412, 448 NASCAR, 552–555 Needleman, S., 89n39
Mike’s Hard Lemonade Co., 219 National Appliance and Radio-TV Dealers Neff, J., 344n17
Military Exchange System, 56 Neiman Marcus Group, 59, 246–247, 443
Miller, C. C., 603 Association (NARDA), 218 Nelson, T., 526
Miller, C. E., 247n32, 404n23 National Association of Chain Drug Stores Nerrillo, P., 344n15
Miller, K. L., 296n16 Neslin, S. A., 330n24
Miller, N., 125n46 (NACDS), 218 Nespresso, 175, 524, 605–608
Miller, R. L., 259n5 National Association of Chemical Nestle SA, 175, 605
MillerCoors LLC, 16–19, 338 Netflix, 83, 245, 251, 285
Milsap, C. R., 268n37 Distributors, 217 Neuborne, E., 293n10
Mitchell, G., 498 National Association of College Stores, 562 Neureuther, B. D., 367n8
Mitri, M., 511n31 National Association of Convenience Stores Nevin, J. R., 116n20, 132n65, 133n70,
Mittal, V., 202n63
Modell’s, 69 (NACS), 218 136n86, 160n22, 206n69, 259n5
Moen, 273–274 National Association of Electrical New Balance Athletic Shoe, Inc., 231
Mohan, A., 253 Newell Rubbermaid, 11, 12
Mohawk Industries, 361–362 Distributors, 217 Newvalue Supply, 141
Mohr, J. J., 116n20, 136n86–87, 139n92 National Association of Food Chains Ng, I. C. L., 496n27
Mollenkopf, D., 63n29, 64n37 Nicholls, J. A. F., 122n31, 344n16
Moncrief, R. L., 38n5 (NAFC), 218 Nicholson, C. Y., 229n30
Monoky, J. F., 122n32 National Association of Independent Food Nickolaus, N., 300n26
Monroe, K. B., 113n10, 330n22 Nicole Miller Ltd., 331
Moody, P. E., 410n33 Retailers (NAIFR), 218 Niezen, C., 504n11
Moore, J. R., 266n33 National Association of Music Merchants Nike, Inc., 141, 297–298, 351
Moorthy, K. S., 202n60 Nikon Corporation, 336
Moran, G., 404n22 (NAMM), 218 Nine West, 231
Moran, U., 190n31 National Association of Retail Druggists Niraj, R., 367n2
Morey, R., 515n51 Noble, S. M., 8n13
Morgan, F. W., 299n24, 344n15, 354n37 (NARD), 218 Nordstrom, Inc., 57, 65, 174, 246–247, 443
Morgan, J., 643 National Association of Retail Grocers of the North American Building Material Distri-
Morgan, K. B., 449n10
Moriority, R., 190n31 United States (NARGUS), 218 bution Association, 217
Morningstar Equity Research, 603 National Association of Sporting Goods Norvell, D. G., 515n51
Morris, M. H., 266n30 Novak, R. A., 367n6
Morrison, P. D., 494n19, 572 Wholesalers, 217 Nunes, J. C., 308n42
Morrison, S., 167n41, 179, 425n22 National Association of Variety Stores NutriSystem, Inc., 161, 166
Mosaic, 619
Motorcycle Industry Council, 217 (NAVS), 218 O
Motorola, Inc., 161, 581, 584 National Association of Wholesale Distri-
Motorsports, 524 Oakley Inc., 174, 314
Moyer, R., 85n30 butors, 217 O’Brien, J., 93
Muller, J., 66n39, 153n6 National Automobile Dealers Association O’Donnell, J., 153
Munson, C. L., 134n76 Office Depot, 56, 390, 442
(NADA), 218 OfficeMax, 57, 390
National Beer Wholesalers Association, 217 Oh, S., 82n15, 200n52
National Bicycle Dealers Association O’Leary, B., 189n29
Oliver, R. W., 420n9
(NBDA), 218 Olsen, J. E., 85n28, 557–560
National Center for Health Statistics, 613 Omaha Steaks International, 353
National Fastener Distributors Association, 217 Omega SA, 101
National Food Brokers Association (NFBA), OMV, 640

48–49
National Football League, 552
National Grocers Association, 217
National Home Furnishings Association

(NHFA), 218
National Lumber and Building Materials

Dealers Association (NLBMDA), 218
National Policy Agency, 505

Copyright 2011 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.

652 Name Index

1-800 Flowers.com, 443, 525 Pegram, R. M., 215n4–5, 221n20, 225n25, Procter & Gamble (P&G), 37, 130, 157, 161,
O’Neal, C. R., 386n44 270, 395n2, 396n7, 397n8, 397n14, 175, 271, 276, 291, 295, 308, 314, 330,
O’Neal, M., 334n39 403n21, 404, 643 339, 341, 350–351, 358, 372, 456, 457f,
Oneil Product Development, 581 458f, 519
O’Neill, F., 77n5, 135n82, 244n15 Pelton, L. E., 246n25
Onkvisit, S., 486n4 Pennings, J. M. E., 201n53 Professional Beauty Association, 217
Ono, Y., 74 People Encouraging People, 597 Pruden, H. O., 122n26
Onzo, N., 133n72 Peppers, D., 158n18 Publix Super Markets, Inc., 55
OpenTable.com Inc., 498 PepsiCo, 354–355, 447 Pulitzer, L., 93
Orbitz, 423, 493 Peracchio, L. A., 642 Purity Factories Limited, 295
O’Reily Automotive, 60 Pereria, J., 100n63
Ornsby, J. G., 386n45 Perman, S., 161n24 Q
Osawa, J., 87n33 Perreault, W. D. Jr., 387n50
Ostrom, L. L., 196n41 Perril, J., 557 Quaker Oats Company, 208, 295
Oswald, H. M., 397n10–11 Perry, D., 168n45 Quelch, J. A., 187n19, 305n37
Oswall, S. L., 45n16 Perry, M. Z., 116n21, 124n42 Quester, P., 511n31
Otsuka Kagu Ltd., 518 Pet Industry Distributors Association, QuicTop, 57
Oubina, J., 311n48 Quintanilla, C., 66n41
Ouwerkerk, C., 114n15 217 Quinton, B., 604
Overseas Private Investment Corp. Peters, J. I., 122n32 Quiznos, 460
Peters, T., 155n10 Quraeshi, Z. A., 38n5
(OPIC.gov), 519 Petrol, 640 QVC, 69
Overstock.com, 65 Petroleum Equipment Institute, 217
Ovide, S., 150 PetSmart, Inc., 59 R
Owarkerk, C., 349n31 Pettijohn, L. S., 293n3
Owens, J. P., 250n43 Pfizer, Inc., 209 Racetrac Patroleum, 58
Owers, J. E., 196n44 Pharmaceutical Partners Group, RadioShack Corporation, 59, 313–314, 448
Oxenfeldt, A. R., 322, 323n8 Raghavan, A., 354n38
Oxford Industries, 351 613 Rajamma, R. K., 246n25, 435n38, 494n20
Pharmaceutical Researchers and Raley’s Supermarkets, 60
P Ralph Lauren Corporation, 23, 129, 200,
Manufacturers, 612
Page, A. L., 98n57 Phau, I., 453n18 302, 331
Paine Webber Group, 296 Philips Electronics, 291 Ramaseshan, B., 513n36
Palamountain, J. C., 82n12 Phillip Laboratories, 544 Ramaswami, S. N., 226n29
Palin, S., 313 Pickersgill, A., 151n4 Ramchandran, J., 168n42
Panitz, E., 46n19 Pinchak, G. L., 44n13, 260n8 Ramsay, A., 506n19
Pantry, The, 57 Ping, R. A. Jr., 402n20, 409n29–30 Ramsey, R., 229n33
Papavassiliou, N., 369n13 Pirog, S. F. III, 41n6 Ramstore, 640
Papdopoulos, N., 87n36 Pitt, L. F., 513n36 Rand McNally, 239, 371
Paramount Pictures Corporation, 150 Pizza Hut, Inc., 448, 514 Randery, T., 347n19
Parise, S., 6n10 Plank, W., 486n1 Random House, Inc., 301
Parker, M., 259n3 Plattsburgh Motor Service (PMS), 524, Rangan, V. K., 114n13, 168n42, 202n59,
Parker, P., 310n45
Parker, R., 245n18 548–551 202n61, 216n8, 395n1
Parrish, J., 181n5, 225n24 Polo-Redondo, Y., 454n23 Rangniro, K. C., 643
Parry, M. E., 319n2 Port, O., 91n43 Rao, V. R., 294n12, 344n14
Parsons, T., 112n4 Porter, D., 534, 536 Rapid Refill, 463
Passikoff, R., 604 Porter, J., 433n33 Rapp, J., 612
Paswan, A. K., 435n38 Porter, M. E., 9n15, 84n26, 153n5, 154n8, Ratchford, B. T., 293n7, 437n43
Patrick, A. O., 331n26 Rathz, D., 513n37
Patron Spirits International, 326 162n28 Raven, B., 125n50
Patterson, P. M., 348n26, 349n29 Posselt, T., 280n58 Raven, P. V., 505n18
Paul, P., 419n6 Potjes, J. C. A., 85n31 Ravishanker, N., 5n6
Payan, J. M., 259n5 Potter, J., 296n17 Rawwas, M. Y. A., 488n10
PayPal, 5 Powers, T. L., 132n62 Ray, N. M., 112n5
Peapod, Inc., 422–423 Prasad, V. K., 302n29 Ray-Ban, 314
Pearson, J. N., 453n17 Preble, J. F., 451n12 Raybro Electronic Supplies, Inc., 45
Pearson, M. M., 122n28, 122n32, 515n48 Precision Electronics Corporation (PEC), Raymond, M. A., 509n26
Pecotich, A., 112n7, 229n31 Rayovac Corp., 156–157
Peelen, E., 114n15, 349n31 524, 540–543 RCA Corporation, 45
Peers, A., 165n33 Prentice-Hall, Inc., 240, 642 RE/MAX International, 448
Peers, M., 84n27 Price, J. L., 125n48 Reardon, J., 247n32
Price, R. A., 281n59 Rebarick, W., 377n34, 378
Price Chopper/Golub Corp., 60 Recreational Vehicle Aftermarket
PriceGrabber, 436
Priceline.com, 423, 493 Association, 217
Pride, W. M., 260n7

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Name Index 653

Recreational Vehicle Dealers Association of Royal Appliance Manufacturing Schutte, T. F., 121n25, 263n20
North America (RVDA), 218 Company, 310 Schwartz, B., 141
Scott, Foresman and Company, 277–279
Redbox, 83, 115–116 Rubio, N., 311n48 Scott Paper Co., 79–80, 84, 310
Reddy, N. M., 44n13, 260n8, 269n38 Rudolph, T., 642 Scotts Mirical-Gro Company, 329–330
Reebok International Limited, 297 RueLaLa, 442 Scully, J. I., 259n4
Reeves, R., 245n17 Rundle, R. L., 372n22 Seagate Technology, 12
Reibstein, D. J., 241n7 Russ, F. A., 387n50 Sears, Roebuck and Co., 15, 55, 269, 310
Reiten, E. D., 397n12 Rust-Oleum Corporation, 231, 275–276, 275f Sebastian, H., 333n31
Research in Motion, 29 Ruvio, A., 502n5 Seiders, K., 24n35
Retail Jewelers of America (RJA), 218 Ryan, F. W., 186n18 Seiko Epson Corporation, 125
Reve, T., 75n2, 112n2 Seimitu Denki Kogyo Ltd. (SDK), 540
Richard D. Irwin, Inc., 242 S Sellman, C., 329n21
Richards, T. J., 348n26, 349n29 Senecal, S., 186n17
Richardson, L. D., 132n62, 266n27 Sacasas, R., 99n61 Sengupta, S., 269n38
Ricks, J. E., 269n41 Sachdev, H. J., 506n20 Sergio, T., 459–460
Ricoh, 46 Safety Equipment Distributors Association Service Master, 448
Rindfleisch, A., 138n91, 245n17 ServiStar, 83
Rising Moon, 295 Inc., 217 SESAC (Society of European Stage Authors
Rite Aid Corporation, 55, 248 Safeway Inc., 55, 63, 235, 294
Robert Morris Associates, 324 Sahadev, S., 112n7, 225n26 & Composers), 524, 629–634
Roberts, D., 501, 503n7 Sainsbury’s, 485 Sethi, R., 229n30
Roberts, J. H., 494n19 Sakano, T., 133n72 Sethuraman, R., 269n38
Robicheaux, R. A., 85n28, 135n84, 266n27, Saks Inc., 61, 246, 442 Seven & I Holdings Co., 56, 166, 322, 411,
Salcedo. L., 512n33
281n60 Salehi-Sangalri, E., 513n40 448, 463, 504–505
Robicheaux, R. H., 513n38 Salesforce.com, 94 Sewell, D., 355n42
Robinson, M., 284 Salkin, S. E., 420n8, 424n16 Seybold, P. B., 63n34
Robinson, W. A., 344n15 Sallie Mae, 12 Shames, E., 342n6
ROCKAUTO.COM, 29 Salmond, D., 259n3 Shang, J., 202n63
Rodriguez, J., 504n11 Samiee, S., 507n24 Shankar, V., 373n23
Rody, R. C., 11n21 Samli, A. C., 502n2, 504n13 Shannon, S., 432n29
Roering, K. J., 219n13 Sam’s Club, 157, 247, 294 Shao, A. T., 509n26
Rogers, M., 158n18 Samsonite Corporation, 84 Sharma, D., 369n13
Rohwedder, C., 248n36, 296n20, 331n26 Sanchanta, M., 298n23 Sharp Corporation, 46
Rolex SA, 172 Sandler, K., 506n23 Shashi, C. M., 189n29
Romberger, T., 75n1, 76n3 Sangtani, V., 384n41 Shaw, J. J., 486n4
Ronkainen, I. A., 502n3 Sara Lee Corporation, 175, 362, 608 Sheetz, Inc., 59
Rose, G. M., 502n2, 504n12, 505n18 Sarathy, R., 502n3 Sheffet, M. J., 100n62, 334n39, 335n41
Rose, M., 43n11 Save Mart, 59 Shell, 640
Rosenberg, L. J., 386n46 Savitt, R., 186n18 Sherwin-Williams Co., 59, 83, 103
Rosenberg, L. L., 123n33 Sawyer, A., 433n30 Sheth, J. D., 261n13
Rosenblatt, M. J., 134n76 Sawyers, B., 558–560 Sheth, K. N., 196n40
Rosenblatt, Z., 134n76 Sax, D., 214 Shimp, T. A., 342n1
Rosenbloom, B., 5n3, 6n6, 9n11, 38n4, 42n10, Scammon, D. L., 100n62, 335n41 Shipley, D. D., 181n5, 221n18, 222, 260n7,
Scansource, 582–583
44n15, 45n18, 47, 49n24, 63n29, 63n32, Scardino, E., 309n44 319n1, 330n23
64n35, 64n37, 87n35, 112n7, 116n22, Schary, P. B., 266n33, 376n30 Shipp, S. H., 219n13
117–119, 123n34, 186n18, 189n27, Schechner, S., 150, 245n22 Shirouzu, N., 399n15, 460n33
195n38, 202n62, 218, 243n12, 245n19– Scheck, J., 11n22, 334n36 Shoham, A., 502n2, 502n5, 504n12, 505n18
20, 247n31, 269n38, 271n47, 281n63, Schemel, S., 631n2–3 Shopkick, Inc., 93, 443
304n36, 327n15, 332n30, 502n4, 512n34, Schiefter, R. J., 302n29 Shopping.com, 436
514n41, 514n45, 515n48, 515n52, Schiff, M., 205n67 Shopzilla, 436
516n54, 516n57, 642–643 Schiller, Z., 296n16, 323n7 Shrimp, T., 259n3
Rosenbloom, R., 643 Schish, R., 643 Shul, P. L., 260n7, 281n62
Rosenburg, L. J., 122n27 Schlesinger, J. M., 505n15 Shuptrine, K. F., 120n24
Roslow, S., 122n31, 344n16 Schlossberg, H., 124n44 Sia-chung, L., 114n14
Ross, R. H., 132n60 Schmidt, R. H., 266n33 Sibley, S. D., 42n8, 133n70, 134n77
Ross, W. T., 259n3 Schmidt, S. M., 113n11 Siddall, J., 89
Ross Stores, Inc., 58 Schmitz, J. M., 135n84 Siguaw, J. A., 168n43, 236n1, 261n12
Rosson, P. J., 516n55 Schoenbachler, D. D., 170n47 Silver, S. D., 205n67
Roth, V. J., 200n52, 502n6, 514n43 Schoenfeld, B., 491n14 Simon, H. A., 196n45
Roundy’s, 60 Schoenfeld, E., 155n12, 419n1 Simplicity Pattern Company, 99
Royal Ahold, 636 Schul, P. L., 124n38, 133n69 Simpson, P. M., 236n1, 261n12

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654 Name Index

Singer, M., 63n34, 397n9 Stephenson, P. R., 323n6 Taylor, E., 245n17
Sinha, R. K., 329n21 Stern, L. S., 113n11 Taylor, R., 560
Sirgy, M. J., 260n7 Stern, L. W., 10n17, 75n2, 103n68, 112n2, Taylor, W. E., 38n5
Skarmeas, D., 513n40 Tedlow, R. S., 435n39
Skidmore, S., 51n26 113n8, 122n27, 122n32, 124n40, Tellis, G. J., 333n35
Skinner, S. J., 112n7, 115n16, 259n3 132n64, 134n80, 516n58 Terlep, S., 167n41, 298n23
Skinner, T., 601 Sternthal, B., 113n11, 122n32 Terpstra, V., 502n3
Skjott-Larsen, T., 376n30 Stewart, D., 245n17 Tesco PLC, 248, 636
Skype Limited, 5 Stewart, T. A., 217n9 Texas Instruments, 557
Skytte, H., 162n29 Stewart, W. M., 384n42–43 TheFind, 436
Slager, J., 541–543 Stigler, G. J., 19n32, 36n1 Thomas, C., 557
Small Planet Foods, 295 STIHL, Inc., 13–16, 14f, 311 Thomas, E. J., 134n79
Smelser, N. J., 112n4 Stoll, J. D., 260n11 Thomas, G. P., 8n12, 378
Smith, A. E., 19, 42n8, 396n5 Stolle, J. F., 380n37 Thompson, L., 296n17
Smith, D. C., 250n43 Stone, B., 428n24, 431n26 3M Company, 157, 218–219, 228–229, 228f,
Smith, E., 74, 155n12, 488n8 Stonyfield Farm, 252
Smith, G. E., 319n3 Stooksbury, C., 631n4 352
Smith, M. F., 41n6 Storholm, G., 515n49 Thurik, R. A., 85n31, 124n39, 162n29, 229n32
Smith, N. C., 90n41 Strategic Distribution Inc. (SDI), 368 Tierney, C., 351n34
Smith, S. V., 486n4 Stremersch, S., 199n47 Tikoo, S., 449n9
Snap-on Tools Corporation, 462, 524, 565–569 Streukens, S., 486n6 Timberland Company, 389
Snap-on Wrench Company, 565 Stride Rite Corporation, 329 Timmins, S. A., 112n2, 343n8
Snapple Beverage Corp., 208 Stump, R. L., 201n54 Tirella, J. V., 604
Snyder, S., 6n7 Suarez, M. G., 311n47 TJX Cos., 56
Snyder’s of Hanover, 225, 227 Subramaniam, R., 368n12 Todd, H., 83n19
Sohi, R. S., 136n87, 139n92 Subway, 131, 185 Toddler University Inc., 314
Solberg, C. A., 515n50 Sullivan, E. A., 194n35, 436n40, 454n22, 502n1 Tolerico, S., 437n43
Solectron Corp., 383 Summers, J. O., 266n30 Tommy Hilfiger Corp., 331
Song, M., 506n19 Summers Inc., 557 Toppers Pizza Inc., 208
Song, R., 437n43 Sunflow Group, Inc., 351 Toshiba, 199, 619
Sonnenberg, F. K., 273, 273n49 SunGard, 12 Toyota Motor Corporation, 285, 366
Sony Music Entertainment Inc., 23, 70, 150 Sunglass Hut, 174 Toys “R” Us, 56, 63, 105–106
Source Perrier, 306–307 Suning, 518 Trachtenberg, J. A., 92n45–46, 301n27
Southland Corporation, 129, 398, 411 Supermarket Institute (SMI), 218 Tractor Supply Co., 61
Spar, D., 420n10 Supervalue Inc., 55, 235 Trader Joe’s, 58
Spector, M., 83n18 Susser Holdings, 61 Travelocity, 423, 493
Speedway Motorsports Incorporated Sutton, T., 418 Trivedi, M., 162n29
Swader, L., 552–555 Trombetta, W. L., 98n57
(SMI), 554 Swaminathan, J., 166n39 Troy, L. C., 168n43, 348n27
Speh, T. W., 180n3 Swatch Group Ltd., 101 Tse, D. K., 342n2
Speier, C., 182n7 Sylvan Learning Center, 129–130 Tu, H. H., 461n36
Spekman, R., 132n61, 259n3 Symantec, 12 Turley, L. W., 115n16
Sports Authority, The, 61 SymphonyIRIGroup, 302, 347 Turner, K., 534, 535
Spriggs, M. T., 395n1, 397n13, 398 Systemax, 61 Twede, D., 375n27
Spyropoulou, S., 513n40 Twentieth Century Fox Film Corporation,
Squibb Corporation, 609 T
Srinivasan, S. S., 226n29 115–116, 150
Staelin, R., 342n3–4 T-Market, 639 Twitter, 5, 19, 89, 106, 208, 218, 262, 342,
Stank, T. P., 375n29 T-Mobile, 12
Stanton, J. L., 348n25 Taco Bell, 448 352–353, 419, 425, 438, 525, 529
Staples Inc., 5, 56, 63, 105, 252, 390, 443 Tadikamalla, P., 202n63 Tyagi, R. K., 319n2
Star, R., 74 Tajma, Y., 243n11 Tybur, B., 552n1
Star Chemical Company, 524, 570–571 Talarzyk, W. W., 50, 642
Starbucks Corporation, 78, 94, 185–186, Talley, K., 5n1, 129n52 U
Tam, P., 125n49, 184n13
189, 237, 258, 307–308, 351, 599–600, Tamilia, R. D., 186n17 Udell, G. G., 293n3
602, 604 Tang, A. K. Y., 90n40 Uncles, M. D., 87n34
Stark, T. P., 367n2, 631n2 Tang, T., 317 Underhill, P., 350
Stater Bros. Markets, 60 Tansuhaj, P., 229n31, 505n18 Unilever, 596
Stecke, K. E., 367n8 Target Corporation, 55, 63, 79, 129, 165, Union Carbide, 310
Steenkamp, J. E. M., 405, 405n26 United Nations World Tourism Organiza-
Steinway & Sons, 284, 361 252, 296, 305, 344
Stengel, A., 87n34 Tasti D-Lite LLC, 208 tion (UNWTO), 87
Stephans, J., 334n37 Tate, M., 642 United Parcel Service (UPS), 66, 142, 337,
Tauber, E. M., 436n41–42
371, 538
U.S. Bureau of the Census, 34, 39, 52–54,

237–239

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Name Index 655

U.S. Department of Commerce, 38, 40, 42, Warner Electric, 268 Winterthur, 67
52–54, 239, 451 Warren, R. L., 10n17 Withey, J. J., 180n3, 262n14
Warshaw, M. R., 325n10 Wittreich, W. J., 136n88, 137n89–90
U.S. Justice Department, 97–98, 102–103 Warshaw, P. R., 327n15 Woeber’s, 214
U.S. Post Office, 66 Wasson, H. C., 123n35 Wolf, C., 371n16
U.S. Supreme Court, 100, 103 Wathne, K. H., 229n34, 265n23 Wolfe, J., 552n3
Universal Studios, 115–116, 150, 251 Watson, A., 84n25, 112n3, 130n53, 448n5, Wood, D. F., 375n28
Unman, J. J., 349n30 Wood, S. L., 244n16, 433n30
Upah, G. D., 494n18 452n14 Wood, V. R., 112n5
WaWa, 59 Woodside, A. G., 293n9
V Weaven, S., 453n21 Worden, N., 5n5
Webb, K. L., 134n78 Woronoff, J., 87n32, 243n11
Vachani, S., 90n41 WebSiteOptimization.com, 440 Worthen, B., 235
Vaile, R. S., 16n28 Webster, F. E. Jr., 249n40, 271n45–46, Wortzel, L. H., 319n3
Valiante, G., 604 Wren, B. M., 151n3
Van Birgelen, M., 23n34 294n11, 604, 643 Wrenn, W. B., 262n14
Van Den Bulte, C., 199n47 Webster, J., 342n7 Wrigley, 195
Van Holding, 640 Weeks, J., 387n48 Wu, N. S., 461n36
Van Metre, E., 151n4 Wegmans Food Markets, 59 Wuyts, S., 199n47, 266n32
Van Vranken, C., 505n17 Weigand, R. E., 123n35, 311n46, 504n10,
Vanelli, M., 612n7 X
Vang, T., 248 515n53
Vascellaro, J. E., 245n22, 433n35 Weinberg, B. D., 6n10 Xerox Corp., 125, 503
Vazquez, R., 225n26 Weinburger, B., 541 Xie, T., 368n12
Venkatesan, R., 5n6, 428n23 Weingberger, M. G., 8n13
Venkatraman, M. P., 319n3 Weiss, E. B., 267 Y
Verbeke, W., 114n15, 349n31 Weitz, B. A., 266n30, 269n41, 433n30
Vermilyea, A. J., 612n7 Welch, D., 76n4 Yague, M. J., 311n48
VF Corporation, 91 Welch, J. L., 183n10 Yahoo!, Inc., 436
Viacom, 74 Welsh N. A., 75n1 Yamaguchi, T., 541–542
Vilcassim, N. J., 199n49 Wendy’s, 111 Yamaha Corporation, 361
Villas-Boas, J. M., 292n2 Werner, R. O., 99n59 Yan, R., 332n29
Virant, V., 502n5 Whalen, J., 503n9 Yaprak, A., 87n36
Volvo, 158–159, 619 Where, 443 Yasud’Doi, 642
VP Market, 640 Whirlpool Corporation, 374–375, 514 Yavas, U., 38n5, 514n42
Whitacre, E. E. Jr., 260 Yeoh, P., 165n32, 221n19, 511n31
W White, D. W., 458n28 Yildirim, T. P., 202n63
White, J. B., 276n56, 333n32 Yoo, B., 292n1
W. W. Grainger Inc., 69, 372 White, J. C., 168n43, 348n27 York, E. B., 604
Wadinambiaratchi, G., 85n29 Whole Foods Market Inc., 58, 214, 294, Young, J. A., 386n44, 493n17, 642
Wadsworth, F. H., 454n24 Young, T., 399n16
Wagner, G., 266n33 350–351 YouTube, 5, 342, 353
Wagner, J., 181n5, 225n24 Wiertz, C., 486n6 Yovovich, B. G., 276n54
Wagner, W. B., 319n1 Wigland, R., 420n10 Yujuico, E., 502n6
Wakabayashi, D., 159n20 Wildstrom, S., 328n17
Wal-Mart Stores Inc., 51, 53, 55, 62–63, 79, Wilke, J. R., 103n67 Z
Wilkinson, I. F., 133n71
90, 93, 105–106, 115, 127, 129, 131, Willett, R., 93 Zappos.com, 160
141, 191, 214, 231, 245, 252, 271–272, Williams, D. E., 419n2 Zara, 366, 386
276, 293–294, 297, 305, 309–310, 344, Williams, L. R., 158n16 Zebra Techologies, 581
374, 384, 390, 534, 587, 635 Williams-Sonoma, Inc., 60, 305 Zellner, W., 187n22, 247n29
Waldron, K., 13n25 Williamson, O. E., 200n51 Zemanlek, J. E. Jr., 267n35
Walgreen Co., 55, 248, 297, 344 Wills, J. R. Jr., 502n2, 504n13 Zhang, L., 506n20
Walker, B. J., 11n23, 16n30, 123n34, Wilson, D. T., 250n42 Zhao, K., 114n12
183n10, 266n33, 495n23 Wilson, E. J., 250n42, 293n9 Zhao, M., 247n27
Walker, O. C. Jr., 123n36 WinCo Foods, 59 Zhou, N., 114n14
Walt Disney Company, 103, 150, 251 Wincze, A., 553n4 Zhuang, G., 114n14
Walters, P. G. P., 507n24 Wind, Y., 249n40 Zimmerman, A., 79n10, 296n18–19, 317,
Walters, R. G., 293n6, 308n43, 319n2, Windspanger, J., 449n7
347n21 Wine & Spirits Wholesalers of America Inc., 354n38, 438n46
Wang, D. T., 342n2 Zimmerman, E., 293n9
Wang, Z., 490n12 217 Zinn, W., 19n32, 383n39, 503n8
Wansink, B., 201n53 Wine.com, 434, 434f Ziobro, P., 125n51, 322n5
Wardlow, D. L., 375n28 Wingfield, N., 165n33–34, 235, 534n6–7 Zmuda, N., 425n21
Warfield, M., 604, 643 Winn-Dixie Stores, Inc., 58 Zoltners, A. A., 216n8, 330n22
Warner, S., 611n2 Winsted, K. F., 119n23 Zoo Health Club, The, 448
Winsten, C., 85n30

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Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.

Subject Index

Note: t stands for tables and f stands appraising effect of conflict, 122 breaking bulk, 46
for figures arbitration, 123 Bristol-Myers Squibb
Asia, 620
A assortment, 46, 296 direct-to-consumer marketing by,
attitude, 223 610–613
abrasives specialist, 45 audit, marketing channel, 121–122,
additional intermediaries, 22f Glucophage, 610, 613–616
adjustment, 197 263–265 history of, 609
administered marketing channel audit of marketing channel, 264–265t broker, 38, 48
automotive aftermarket industry Bulgaria, 636–641
system, 84 bulky product, 192–193
advertising, 219, 226–227 current state of, 548–550 business format franchise, 447–448, 448f,
Advertising Age, 344, 600 industry pricing in, 550
advertising agency, 67 inventory investment in, 550–551 450t, 494
advisory council, 122, 265–266 inventory practicing in, 550 Business Horizons, 274, 378
agent/agency, 38 traditional distribution channel of, 548 business-to-business (B2B), 6, 25f, 438
availability of product, 45 business-to-consumer (B2C), 6
advertising, 67 Business Week, 366, 485, 501
buying, 297 B buyer, 249–250
facilitating, 10, 66–67 Buying a Franchise A Consumer Guide
financial, 67 Barnes & Noble College Bookstores, 561–564
foreign, 510 behavior (Federal Trade Commission), 463
manufacturer, 48 buying agent, 297
order processing, 66–67 consumer, 246t buying center, 249
selling, 48 dimensions of, 112
storage, 66 in international marketing channel, C
transportation, 66
wholesale intermediaries, 47–49 505–506 Cadillac, 174, 501
ALDI marketing channel, 243–250 call center marketing channel, 7,
consumer electronics and, 590 marketing channel communication,
limited assortment concept of, 587 632–633
operational efficiency at, 587–588 problems with, 136–139 Carrefour
private-label advantage at, 588–589 of marketing channel member, 355f
relationship marketing at, 589–590 supermarket shopping, 575–576 background of, 635–636
allocation decision, 23 Ben & Jerry’s in Bulgaria, 636–641
alternative marketing channel background of, 594–595 competitive environment of, 639–640
by Commodity Chemical Company, 204f distribution strategy for, 596–598 economic environment of, 636–637
intensity of, 188–189 franchising, 597 future of, 641
intermediaries, types of, 189 international licensing for, 597–598 international strategy of, 636
level of, 187–189 mail ordering of, 597 legal environment of, 638–639
number of, 187–190 marketing strategy for, 595–596 marketing channel strategy of, 640–641
structure of, 186–190 online sale of, 597 political environment of, 638–639
Amazon Web Service (AWS), 94 products offered by, 595 socio-cultural environment of, 637
ancillary structure, 26–28 supermarket distribution of, 596 carrier, 509
Beverage World, 219 casual exporting, 507–508
Bing, 436 category killer, 63
Bloomberg BusinessWeek, 214 category management, 308
Caterpillar, 163f

656

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Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.

Subject Index 657

Caterpillar Logistics Services, Inc. (Cat Logistics) competitive environment of marketing channel design decision,
in Asia, 620 in Carrefour, 639–640 183–186
in China, 620 competition in, types of, 82–84
Lingang Logistics Center of, 620–622 competitive structure of, 84–85 personal contact, 156f
international marketing channel and, cost curves, 37f
Celler-Kefauver Act, 96 503–504 County and City Data Books, 239
Census of Retail Trade, 51, 52t, 53, 54, marketing channel management in, 84–85 credit condition, 222
customer
68–69, 189 competitive product, 222
Census of Wholesale Trade, 39–40, 42, competitive vulnerability, 160 marketing channel management and,
complementary product, 222, 600–602 491–492
47–49, 69, 189 computer, handheld, 91–92
“Characteristics of Good and Parallel computerized inventory management, 91–92 in marketing channels for services, 487
computing, cloud, 94 as member of marketing channel, 219
Systems” approach, 197–199, 198t Confession, The (Grisham), 301 prospective, 219
Chevrolet, 361 conflict in marketing channel support for, 45
China, 620 customer relationship management (CRM),
Clark’s Flower Shops, 537–539 appraising effect of, 122
Clayton Act, 95, 509 causes of, 114–120 195–196
cloud computing, 94 competition vs., 113–114 customer service, 45–46, 376t
Coalition of Americans to Save the detection of, 120–122 Customer Service Index (CSI), 164
in Hassler & Howard Inc., 556–560 customized services, 495t
Economy (CASE), 127–128 management of, 120–124 Cyber middleman, 421f
coercive power, 127, 128f marketing channel efficiency and, 119–118 Cyberspace, 419
college textbook industry, 562–564 in multi-marketing channel, avoiding, 9
commando shopping, 247 resolving, 123–124 D
commerce congruency of distribution objectives,
data-based management, 433
electronic, 419, 440f, 582 184–186 dealer/dealing
Facebook, 419 connectedness, 88
Internet, 419 constant efficiency, 117 advisory council for, 265–266
mobile, 419, 429f consumer behavior, 246t exclusive, 97–98
social, 419 consumer electronics, 590 fair, 229
Commercial Atlas and Market Guide, 239 Consumer Price Index (CPI), 78, 78t, 80 network for, 163f
commercial marketing channel, 34 consumer purchase, 575 partner with, 269
commission merchant, 38, 49 Consumer Reports, 297–298, 303 refuse to, 100–101
Commodity Chemical Company, 204f consumer support, 529–530 relationship with, 275
communication in marketing channel, 241 consumer-to-consumer information, 438 Dealer Rating Form, 623–625
behavioral problems in, 136–139 consumption time, 197 decision domain disagreement, 115
difficulties in, 116 contactual efficiency decision maker, 11, 249
in marketing channel, 261f decisions for marketing channel
company, marketing channel within ancillary structure and, 26–27
corporate objectives and strategy of, 195 for Granada Guitar Company, 21t design
export management, 508–509 in marketing channel, 20–27, 83, 116, distribution objective and strategy of,
financial capacity of, 195
insurance, 67 117–119f, 119–118 183–187
managerial expertise of, 195 marketing channel structure and, 22–26 marketing channel structure for, 187–206
size of, 194–195 contactual organization, 10 paradigm of, 181–182
trading, 508 contraction of product line, 308–309 recognition of, 182–183
company-owned retail store marketing contractual marketing channel, 83 decline stage of product life cycle,
control, marketing channel, 125–131
channel, 7 conventional marketing channel structure, 303–304
company sales force marketing channel, 7 deflation, 80
compatible product, 222 422–423f, 424–425 design of marketing channel
competition. See also competitive cooperative arrangement, 266–269, 509
cooperative program, 266 channel member selection and,
environment Coors Beer, 17f 215–216
conflict vs., 113–114 corporate marketing channel, 83
global, 81 corporate objectives and strategy decisions in
horizontal, 82 distribution objective and strategy of,
interbrand, 102 for Ben & Jerry’s, 596–598 183–187
at Intermec Technologies, 581 congruency of, 184–186 flowchart of, 181f
intertype, 82–83 distribution of, 11, 153–157, 183–186, 259 marketing channel structure
intrabrand, 101 of electronic marketing channel, 437 for, 187–206
marketing channel, 83, 581 explicit, 184, 188 paradigm of, 181–182
types of, 82–84, 82f familiarity of, 183 recognition of, 182–183
vertical, 83 interrelationship and, 185f
competitive advantage, sustainable, 9–10, defined, 180
differential advantage and, 162–164
162, 206 electronic marketing channel and, 438
franchise marketing channel and, 456
international

direct exporting and, 509–511

Copyright 2011 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.

658 Subject Index

design of marketing channel (continued) target marketing channel demand and, marketing channel design and, 438
158–159 marketing channel management and, 439
indirect exporting and, 507–509 marketing channel management
structure for, choosing, 511–512 distribution objectives and strategy
marketing channel dimension and, 236f congruency of, 184–186 of, 436–441
marketing channel member selection and, of decisions for marketing channel design, marketing channel member selection and,
183–187
215–216 explicit, 184 438–439
marketing channel strategy and, 161–164 in marketing channel mix, 437–438
distribution partnership, 161, 269 marketing channel strategy of, 436–441
marketing channel analysis, 236 distribution portfolio analysis (DPA), 168–169 mobile, 428–430
marketing channel behavior, 243–250 distribution programming, 266, 276–280, 277t product flow in, 424
marketing channel density, 241–243 distributor, foreign, 509 reintermediation in, 420–424
marketing channel geography, 237–239 distributor advisory council, 122, 265–266 on social network site, 430–431
marketing channel size, 240–241 distributor partner, 269 structure of, 420–425
persons engaged in, 180–181 Dr. Scholl’s, 351 virtual marketing channel structure in,
differences/differentiation Dodge, 209
exceptional, 115 Drexel University, 557, 642–643 424–425
language, 137 DSN Retailing Today, 225, 226 Encyclopedia of Associations, 218
perceptual, 114–115 dual distribution, 97 environment of marketing channel. See also
in product, 305–306 Dunkin’ Donuts University (DDU), 467,
in social network marketing channel, individual environments
591–593 competitive, 81–85
528–529 Duracell, 156 economic, 77–81
differential advantage, 162–164, 206 legal, 94–103, 505
digital revolution, 92–93 E political, 94–103, 505
direct exporting, 509–511 sociocultural, 85–90
direct marketing channel, 240f e-alliance, 273, 274f technological, 90–94
direct product profitability (DPP), 63 e-mail, unsolicited, 433 variables of, 196
direct sales force marketing channel, 582 economic environment exceptional difference, 115
direct-to-consumer marketing channel, exclusive, defined, 166, 188
of Carrefour, 636–637 exclusive dealing, 97–98
610–613 deflation in, 80 executive of distribution, 123
Discount Store News, 125–126, 130 inflation in, 78–80 expansion of product line, 308–309
disintermediation, 19, 420–424 other issues within, 80–81 expert power, 129–131, 131f
distribution marketing channel recession and, 77–78 explicit distribution objective, 184
economic order quantity (EOQ), 373f export management company, 508–509
competitive vulnerability and, 160 economy of scale, 37 export marketing mix, 510t
in corporate objectives and strategy, 11, economy of scope, 37 exporting
Editor and Publisher Market Guide, 239 casual, 507–508
153–157, 259 efficiency direct, 509–511
for Ben & Jerry’s, 596–598 ancillary structure and, 26–27 indirect, 507–509
congruency of, 184–186 constant, 117 external marketing channel, 10
explicit, 188 contactual, 20–27
familiarity of, 183 increased, 117–119 F
of marketing channel design decision, marketing channel, 118–119
marketing channel structure and, 22–26 Facebook commerce, 419
183–186 operational, 587–588 facilitating agency, 10, 66–67
personal contact, 156f reduced, 116–117 fair dealing, 229
cost curve for, 37f efficient congestion, 241 fair trade, 99–100
costing approach to, 205 electronic commerce (e-commerce), 419, Federal Trade Commission Act, 95
dual, 97 fee for franchise, 449
electronic, 419 440f, 582 field sales organization, 216–217
executive, 123 Electronic Data Interchange (EDI), 90–91, Fighter, The, 285
intensity of, 167f, 168f, 188f financial agency, 67
for Intermec Technologies, 582–583 271, 276, 513 financial capacity of company, 195
iPhone, 7f electronic distribution, 419 financial condition, 222
in Japan, 242f electronic marketing channels flow of marketing channel
marketing channel and, 160–161
of marketing channel design decision, advantage of, 431–435 information, 17–18, 26f, 424
conventional marketing channel structure in marketing channel, 16–19, 28
186–187 in marketing channel for service, 496
of merchant wholesale intermediaries, in, 424–425 negotiation, 17, 26f
corporate objective and strategy of, 437 ownership, 17
42–47 defined, 419–420 product, 16, 424
Monster Energy Drink, 8f development and trend in, 425–431 promotion, 18
multi-channel, 97 disadvantage of, 435–436 for service, 496
priority given to, 155–157 disintermediation in, 420–424
of retail intermediaries, 64–66 evaluation and, 439–441
role of, 154f information flow in, 424
for Sony Music, 24f

Copyright 2011 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.

Subject Index 659

flower industry, 538–539 Gillette Company, 225–226, 226f, 362, 383 interbrand competition, 102
food broker, 48, 49f global competition, 81 interest rate, real, 80–81
foreign agent, 510 globalization, 87–88 Intermec Technologies (Intermec)
foreign distributor, 509, 512t Glucophage, 610
foreign marketing channel. See international Glucophage XR, 613–616 direct sales force channel for, 582
goal differing, 136–137 distribution channels for, 582–583
marketing channel goal incompatibility, 115–116 electronic commerce for, 582
franchise agreement, 454 goal-setting, joint, 123 indirect marketing channel for, 582–583
franchise fee, 449 Going Rogue: An American Life (Palin), 313 marketing channel competition and, 581
franchise marketing channel gray market, 515 marketing channel management chal-
Great Recession of 2008, 460
business format, 447–448, 494 Green Movement, 90 lenge for, 584
channel member within, 602–603 gross margin, 197 overview of, 580
concepts and terminology of, 447–450 growth stage of product life cycle, 301–302 products and services of, 580–581
defined, 447 revenues and profits of, 581–582
downsides of, 453–455 H intermediaries. See also specific intermediaries
expert power in, 131f additional, 22f
fee for, 449 Häagen-Dazs, 97, 594 agent wholesale, 47–49
importance of, 450–451 handheld computer, 91–92 alternative marketing channel structures,
marketing channel design and, 456 Hannan University, 642
marketing channel management Harvard Business Review, 159 types of, 189
Hassler & Howard Inc. availability of, 195
of, 455–461 cost of, 195
marketing channel member in, 456–458 conflict in, 556–560 merchant wholesale, 42–47
marketing channel mix in, 459–460 history of, 556 retail, 50–66
multi-unit, 448–449 Health Magazine, 614 services of, 195–196
product distribution in, 447 heuristics, 190 trade, 508–509
rationale for, 451–453 holding inventory, 44 wholesale, 38–49
royalty fee for, 449–450 Holy Family University, 642 international licensing, 597–598
scope of, 450–451 Homestead-Miami Speedway, 554 international marketing channel
for service, 494–495 horizontal competition, 82 alternative approaches for, 507f
single-unit, 448–449 house account, 101, 114 behavioral processes in, 505–506
structure of, 448–449 Hyde-Phillip Chemical Company competitive environment and, 503–504
franchised distribution channel, 450t information on, 544–545 design of, 506–512
franchisee initial analysis of, 546–547
downside for, 454–455 sales territory data of, 545–546 direct exporting and, 509–511
motivation of, 458–459 indirect exporting and, 507–509
performance of, 460–461 I structure for, choosing, 511–512
sub-, 449 economic factors and, 503
franchisor impulse buying, 575 foreign marketing channel members in,
continuing assistance offered by, 452f in-store display, 350f
downsides to, 453–454 incentive promotion, 353f 513–515
initial assistance offered by, 452f Inconvenient Truth, An (Gore), 90 leading, 515–516
free rider, 100 increased efficiency, 117–119 legal environment and, 505
friendly relationship, 229 Indiana State University, 642 management of environment
full-line-forcing, 98 Indianapolis Motor Speedway (IMS), 553
indirect exporting, 507–509 for, 502–505
G indirect marketing channel, 582–583 marketing channel members and,
Industrial Distribution Magazine, 120, 121t
gatekeeper, 64, 250 industry pricing, 550 motivation of, 512–516
Gatorade, 208, 306 infant toys, purchase of, 576–579 needs and problems of, 513–514
General Accounting Office (GAO), 348 inflation, 78–80, 78t, 81t political environment and, 505
general licensing, 632 influencer, 249 sociocultural environment and, 504
general merchandise (GM), 572–573 information supporting, 514–515
technological environment and, 504–505
consumer purchase of, 575 consumer-to-consumer, 438 trade intermediaries in, 508t
impulse buying of, 575 flow of, 17–18, 26f, 424 Internet commerce, 419
infant toys purchase and, 576–579 market, 45 Internet marketing channel, 422–423f
margin potential of, 574 peer-to-peer, 438 Internet shopping, 419
size of, 575 processing of, 432–433 interorganizational management, 10
stableness of, 575 Innovative Toys Inc., 572–579 interorganizational social marketing
supermarket shopping behavior and, inquiry by reseller, 218–219
insurance company, 67 channel, 112
575–576 intensive, defined, 166, 188 interrelationship, 185f
turnover of, 574–575 interactive electronics, 420 intertype competition, 82–83
women shoppers and, 575 intrabrand competition, 101
geographical census data, 238–239f intraorganizational management, 10
introductory stage of product life

cycle, 300–301

Copyright 2011 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.

660 Subject Index

inventory M company sales force, 7
holding, 44 competition in, 83, 581
investment in, 550–551 mail order marketing channel, 7 conflict in, 112–124
maintenance of, 441 mail ordering, 597 for Consumer Electronics Products, 25f
practicing, 550 management in marketing channel, 259 contactual efficiency in, 20–27, 83, 116,

Iowa Speedway, 555 ability of, 223 117–119f, 119–118
assistance from, 227–229 control in, 125–131
J category, 308 for Coors Beer, 17f
closeness in, 166–167 corporate, 83
Japan, 86f, 242f computerized inventory and, 91–92 coverage in, 43, 223
JCPenney customer involvement and, 491–492 defined, 10–19
customer relationship, 195–196 density of, 191–192, 241–243
Facebook marketing channel for, 526–527 data-based, 433 design of, 180, 206
social network marketing channel for, of electronic marketing channel, 436–441 disintermediation in, 19
of franchise marketing channel, 455–461 distribution for, 160–161
527–530 inseparability and, 490–491 electronic, 420
Jeep, 209 intangibility and, 488–490 environment of (See environments of
JFK International Airport, 252 Intermec Technologies, challenge for, 584
joint goal-setting, 123 international, 502–505 marketing channels)
Journal of Business Strategy, 273 interorganizational, 10 external, 10
Journal of Marketing, 119 intraorganizational, 10 for flowers, 537
Journal of Retailing, 218, 398, 405 job titles for, 12f flows in, 16–19, 28
Journal of the Academy of Marketing logistics, 15–16, 379f foreign (See international marketing
marketing channel member and, 167–171
Science, 376 marketing channel mix in, 171–172 channel)
judgmental-heuristic approach marketing channel relationship franchise, 447
geography of, 191, 237–239
distribution costing approach, 205 and, 166–167 information on, 45
straight qualitative judgment approach, 203 marketing channel strategy and, 12–16, legal issues in, 96–103
use of, 206 mail order, 7
weighted factor score approach, 203–205 165–172 marketing channel management
just-in-time (JIT) merchandise, 513 motivation for, 167–171, 260
perishability of, 492–493 and, 12–16, 259
K product life cycle and, 299–304 marketing channel manager in, 11–12
product planning and, 294–299 marketing channel member committee in,
keiretsu, 85 for service, 488–493
Kenmore, 310 standardization and, 491 122–123, 265–269
Kentucky Speedway, 554–555 strategic product management mobile electronic, 428–430
kind-of-business classification, 52t multi, challenge of, 6–10
Kindle, 6, 420 and, 304–309 one-to-one, 433
Koehring Company succession of, 223 partner in, 269
supply chain, 15, 195–196 portfolio for, 8
Dealer Rating Form of, 623–625 trading down and, 310–312 position/positioning in, 162–163
performance report of, 626–628 trading up and, 310–312 power in, 125–134
rating and potential of, 626 managerial expertise, 195 product standardization and length of,
manufacturer, 34–38
L agent of, 48 194f, 198f
distributor vs., 121t relationship in, 166–167
language difference, 137 representative for, 48 retail intermediaries in, 62–64
law on fair trade, 100 sales branch/office for, 38 retail store, 7
leadership for motivating marketing channel selection criteria of, 222t role in, 134–135
manufacturing pricing, 321f sales representative, 7
member, 281–282 market-driven strategy, 236 segment coverage of, 221
legitimate power, 127–129 marketer, 11 size of, 191, 240–241
Lexus, 163–164, 164f, 166, 174, 312, 405 marketing channel. See also specific as social marketing channel, 112
limited assortment concept, 587 social referral in, 419
limited function wholesaler, 47 marketing channels specialization and division of labor
Lincoln, 174, 405 administered, 84
Lingang Logistics Center of Caterpillar analysis of, 236 principle in, 19–20
audit of, 121–122, 263–265, 264–265t strategy in, 13, 151
Logistics Services, Inc., 620–622 behavior of, 192, 243–250 structure of, 23, 28
logistics service call center, 7 synergy for, 160–161
for college textbook industry, 563–564 target, 34, 158–159
customer service and, inventory of, 376t commercial, 34 variable of, 190–192
management of, 15–16, 368t, 370f, 379f communication in, 136–139, 261f vending machine, 7
marketing channel management and, company-owned retail store, 7 vertical, 83
wholesale distributor, 7
379f
quality of, 381–382f
standards of, 377t
loss-leader, 247
Lowe’s, 14f
Loyola University Maryland, 604, 643

Copyright 2011 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.

Subject Index 661

marketing channel mix, 13f, 16f, 171f field sale organization, 216–217 strategy for, 23
marketing channel policy, 278t reseller inquiry, 218–219 sustainable competitive advantage
marketing channel strategic alliance, 272f search for, 216–220
Marketing News, 279 trade source, 217–218 and, 9–10
marketing research firm, 67 research study of, 262 synergy of, 8–9
maturity stage of product life cycle, 302–303 reseller inquiry to, 218–219 multi-tenancy, 94
McDonald’s sales by, 400f, 401f multi-unit franchise, 448–449
search for, 216–220
advertising for, 600 securing, 224–229 N
competitive environment for, 599–600 selection of
complementary product offered Nasdaq Stock Exchange, 553
criteria for, 220–224, 224f NBC, 251, 532
by, 600–602 electronic marketing channel negotiation, 17, 241
franchise channel member of, 602–603 negotiation flows, 26f
premium coffee at, 600 and, 438–439 Nespresso
promotion for, 600 in franchise marketing channel, 456–458
member of marketing channel marketing channel design and, 215–216 competitive challenge of, 608
advertising, 219 marketing channel strategy and, 164–165 distribution strategy of, 607–608
approach to, 261–266 history of, 605–606
behavior of, 355f process for, 216 Netscape Communicator, 102–103
Black & Decker Corporations Statement strategic alliance with, 269–276 network, 161
support for, 266–280 New York Times, 600, 614
of Policy towards, 270f trade sources, 217–218 newness of product, 194
cooperative arrangement for, 266–269 merchandise/merchandising, 84, 513 Nicole Miller Ltd., 331
cooperative program provided to, 267t merchant, commission, 38, 49 nontechnical product, 194
customers as, 219 merchant wholesale intermediaries, 42–47 North American Industry Classification
distribution programming for, 276–280 merchant wholesaler, 38
distributor advisory council for, 265–266 Metropolitan Map Series, 239 System (NAICS), 51
economic vs. social satisfaction of, 405t metropolitan statistical area (MSA), 237 novel product, 353f
field sales organization, 216–217 Michigan International Speedway, 554 NYSE, 580
foreign, 513–515 Microsoft
growth prospect of, 404t changes in, need for, 532–534 O
international marketing channel and, future of, 536
history of, 532 one-to-one marketing, 433
512–516 retail stores for, 532–536 online sale, 61–62, 597
inventory performance of, 401t middleman marketing channel, 240f online shopping, 419, 427t, 429t
manufacturer and, closeness of, 167f minor civil division (MCD), 238–240 online tools, 432t
manufacturer-initiated price cut, reaction mix in marketing channel. See also distri- open system, 502
operational efficiency, 587–588
by, 322t bution marketing channel opportunity cost, 199
marketing channel audit of, 263–265 electronic marketing channel in, 437–438 optimal multi-marketing channel, 7–8
marketing channel management and, in franchise marketing channel, 459–460 order processing, 44–45
in marketing channel management, order processing agency, 66–67
167–171 organizational development (OD), 123
motivation of, 167–171, 169t, 281–282, 171–172 ownership flow, 17
marketing channel strategy and, 157–161
512–516 product, 296 P
needs of, 260–266 variable in, competitive parity in, 159–160
participant as mobile commerce (m-commerce), 419, 429f Pace University, 557
mobile e-commerce, 419 partner/partnership, 163, 166, 266, 269–276,
classification of, 35f mobile electronic marketing
facilitating agency, 66–67 513
intermediaries, 38–66 channel, 428–430 distribution, 161, 269
manufacturer, 34–38 mobility, 88 distributor, 269
overview of, 34 Monster Energy Drink, 8f marketing channel, 269
producer, 34–38 motivation, 259–260 successful, 273f
partnership with, 269–276 motorsports industry peer-to-peer information, 438
performance of, 172, 398f, 398t, 406t, perception, 114
background on, 552–553 perceptual difference, 114–115
407f, 408–409t Swader’s research on, 553–555 performance of sales, 223
problems of, 260–266 MSN Money, 599 performing rights organization, 629–630
product planning with MSNBC, 532 perishability of product, 193
multi-marketing channel personal contact, 156f
acceptance of, 294–296 challenge of, 6–10 Philadelphia Inquirer, 291
assortment of, 296–297 conflict in, 9 Phoenix International Raceway (PIR), 554
education on, 297–298 distribution in, 97 piggybacking, 509
input for, 293–294 optimal, 7–8 Pikes Peak International Speedway
prospective
(PPIR), 554
advertising, 219
customer, 219

Copyright 2011 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.

662 Subject Index

Pillsbury, 184, 594 product distribution franchise, 447 retail intermediaries, 53t, 188f
Plattsburgh Motor Service (PMS), 548–551 product life cycle (PLC), 299f concentration of sales among, 51–61, 54f
political environment, 505, 638–639 distribution tasks performed by, 64–66
position/positioning decline stage of, 303–304 in marketing channel, growth of, 62–64
growth stage of, 301–302 online sale in, 61–62, 62t
marketing channel, 162, 163 introductory stage of, 300–301 percentage distribution of, 53t
product, 306–308 marketing channel management structure trend in, 51
power total sale of, 54f, 62t, 425–426t
availability of, 131–132 and, 300f types of, 50–51
coercive, 127, 128f maturity stage of, 302–303 in United States, largest, 55–61t
expert, 129–131, 131f stages of, 300f
legitimate, 127–129 product line, 223, 225–226 retail store marketing channel, 7
in marketing channel, 125–134 contraction of, 308–309 retail trade association, 218t
of product line, 227f expansion of, 308–309 retailer, 50
referent, 129, 130f power of, 227f
reward for, 125–126, 126f quality of, 222 classification of, 50t
selection of, 132–134 product mix, 296 margin of, 324t
use of, 131–134 product planning operating data of, 324t
power retailer, 63 by marketing channel member, 293–298 power, 63
Precision Electronics Corporation (PEC) for trouble-free new product, 298–299 Retailing Today, 227
background on, 540 product service strategy, 311–312 reward power, 125–126, 126f
distribution goal of, 540 programmed merchandising agreement, rider, 509
establishment of, 540 Robinson-Patman Act, 95–96
marketing channel decision in, 541–543 279t royalty fee for franchise, 449–450
prestigious product, 196 Progressive Grocer, 572 rule of reason, 101
Prevention magazine, 613 promotion, 226–227 Rutgers University, 557
price/pricing promotion flow, 18
discrimination on, 98–99 promotional strategy, 151, 343f S
maintenance of, 99–100 pruning strategy, 308
strategy for, 151 purchase of product, 248 sales
Pricing Strategies, 322 contact for, 44
private-label advantage, 588–589 Q online, 61–62
processing performance of, 223
information, 432–433 quality of product line, 222 strength of, 222
order, 44–45, 66–67
transaction, 432 R sales force marketing channel, 633–634
producer, 34–38 sales representative marketing channel, 7
product racetrack layout, 247 saturation, 188
availability of, 45 radio frequency identification (RFID), 93–94 scanner, 91–92
Ben & Jerry’s, 595 rate scrambled merchandising, 84
brand strategy for, 310–311 search engine optimization, 436
bulky, 192–193 interest, 80–81 searching time, 197
compatible, 222 replacement, 197 selection of marketing channel member,
competitive, 222 Shopping Cart/Checkout Abandonment,
complementary, 222, 600–602 166, 188
differentiation in, 305–306 441 criteria for, 220–224
flow of, 16, 424 real interest rate, 80–81 electronic marketing channel
newness of, 194 recession, 77–78
nontechnical, 194 reduced efficiency, 116–117 and, 438–439
novel, 353f referent power, 129, 130f in franchise marketing channel, 456–458
perishability of, 193 refuse to deal, 100–101 marketing channel design and, 215–216
portfolio for, 168 reintermediation, 420–424 marketing channel strategy and, 164–165
positioning of, 306–308 relationships in marketing channel, 589–590 process for, 216
prestigious, 194, 196 selling agent, 48
purchase of, 248 with dealer, 275 service retailing, 489t
standardization of, degree of, 193 friendly, 229 services, marketing channel for, 26f
strategy for, 151 marketing channel management and channel structure length for, 494f
technical, 194 customer involvement in, 487
trouble-free new, 298–299 closeness of, 166–167 customization of, 495–496
unit value of, 193 replacement rate, 197 franchise, 494–495
usage of, 248 representative for manufacturer, 48 inseparability of, 487
weight of, 192–193 reputation, 223 intangibility of, 486–487
resale restriction, 101 marketing channel flows in, 496
research studies, 262–263 for marketing channel management, im-
reseller, 218–219, 281
Residence Inn by Marriott, 488, 490 plications of, 488–493
resolving conflict, 123–124 perishability of, 488
resource scarcity, 114 perspectives on, 493–496
Restaurants and Institutions, 599
restriction on resale, 101

Copyright 2011 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.

Subject Index 663

shorter, 493–494 product positioning, 306–308 sub-franchisee, 449
special characteristics of, 486–488 strategy for marketing channel, 13 supermarket distribution, 596
standardization of, difficulty of, 487 supermarket shopping behavior, 575–576
value added, 45 for Ben & Jerry’s, 595–596 supply chain, 378t
SESAC of Carrefour, 640–641 supply chain management (SCM), 15,
call center marketing channel of, 632–633 corporate, 153–157
general licensing of, 632 defined, 151–153 195–196
marketing channel structure of, 632–634 for design, 161–164 sustainable competitive advantage, 9–10,
overview of, 630–632
performing rights organization marketing channel analysis, 236 162, 206
marketing channel behavior, 243–250
and, 629–630 marketing channel density, 241–243 T
sales force marketing channel of, 633–634 marketing channel geography, 237–239
7-Up, 306 marketing channel size, 240–241 target marketing channel, 34, 158–159
Sherman Antitrust Act, 95, 509 distribution and, 152f, 153–157, 183 technical product, 194
shopping of electronic marketing channel, 436–441 technological environment
commando, 247 market-driven, 236
Internet, 419 marketing channel management and, cloud computing, 94
online, 419, 427t, 429t computerized inventory management,
virtual, 419 165–172
Web, 419 marketing channel member and, 91–92
Shopping Cart/Checkout Abandonment digital revolution, 92–93
164–165, 172 electronic data interchange, 90–91
Rate, 441 marketing channel mix and, 157–161 handheld computers, 91–92
shorter marketing channel for service, multi-channel, 23 international marketing channel and,
overview of, 152f
493–494 price, 151 504–505
single-unit franchise, 448–449 product, 151, 310–312 radio frequency identification, 93–94
slotting allowance, 168 promotional, 151 scanner, 91–92
smartphone, 92–93 pruning, 308 smartphone, 92–93
Snap-on Tools Corporation for Snap-on Tools Corporation, Temple University, 557
Texas Motor Speedway, 554
history of, 565–567 567–569 third party logistics provider (TPL or 3PL),
marketing channel strategy for, 567–569 strength of sales, 222
marketing channel structure for, 567–569 structure of marketing channel, 23 67, 369f
social commerce, 419 3M Company, 228f
social network marketing channel, 112 alternative, 186–190 threetailing, 63, 247
consumers support for, 529–530 ancillary, 26–28 Total Quality Management (TQM), 161
differences in, 528–529 “Characteristics of Good and Parallel toys. See general merchandise (GM)
social network user, 430t, 431t trade
social networking, 88–89, 430–431 Systems” approach to, 197–199
social referral marketing channel, 419 company variable of, 194–195 fair, 99–100
sociocultural environment, 85–90, 637 for consumer goods, 23f intermediaries, 508–509, 508t
international marketing channel and, 504 contactual efficiency and, 22–26 product brand strategy, 310–311
other forces within, 87–90 conventional, 422–423f, 424–425 product service strategy, 311–312
Sony Music, 24f in developing countries, 86f sources for, 217–218
Sourcebook of ZIP Codes, The, 239 for eBay, 26f trade loading, 355f
spam, 433 environmental variable of, 196 Trade Magazine, 126f, 219f, 227f, 272f,
specialization and division of labor financial approach to, 199–200
horizontal profile of, 171f 385f
principle, 19–20, 20f intermediaries variable of, 195–196 trading up, 309–312
Star Chemical Company, 570–571 in Japan, 86f traditional distribution channel, 548
Starbucks, 307f judgmental-heuristic approach transaction cost analysis (TCA),
State University of New York at Pittsburgh,
to, 203–206 200–201
642 management science approach transaction processing, 432
stockout, 385f transaction-specific asset, 200
storage, 241 to, 201–203 transportation, 241
storage agency, 66 market buying habits and, 192t transportation agency, 66
straight qualitative judgment approach, 203 for Polo by Ralph Lauren Apparel, 24f trouble-free new product, 298–299
strategic alliance, 161, 163, 166, 266, 269, of pricing, 320f tying agreement, 102–103
product variable of, 192–194
513 selection of, 196–206 U
strategic planning process, 154f of SESAC, 632–634
strategic product management for Snap-on Tools Corporation, 567–569 Uniform Franchise Offering Circular
transaction cost analysis approach to, (UFOC), 454
product differentiation, 305–306
product line expansion/contraction, 308– 200–201 unit value of product, 193
variable affecting, 190–196 University of Chicago, 330
309 vertical profile of, 170–171f University of St. Gallen, 642
virtual marketing channel, 424–425 unsolicited e-mail, 433
usage of product, 248
user, 249

Copyright 2011 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
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664 Subject Index

V Wealth of Nations, The (Smith), 19 structure trends in, 40–41
Web clutter, 436 types of, 38–40
value-add marketing channel reseller, 281 Web shopping, 419 wholesale trade association, 217t
value added service, 45 Webb-Pomerene Export Trade Act, 509 wholesaler
variables, 194–196 weight of product, 192–193 flower industry, role in, 539
vending machine marketing channel, 7 weighted factor score, 203–205 kind-of-business grouping for, 39t
vertical competition, 83 wholesale distributor marketing channel, 7 limited function, 47
vertical integration, 103 wholesale intermediaries margins of, 324t
vertical marketing channel, 83, 424–425 merchant, 38, 43t, 47f
Villanova University, 557 agent, distribution task performed operating data of, 324t
virtual shopping, 419 by, 47–49 sales by, 40–41f, 43f
Vita-Stat Machine, 491–492, 492f types of, 39f
vulnerability, 160 concentration in, 41–42 women shoppers, 575
employees in, number of, 42t World Wide Web, 419
W merchant, distribution task performed by,

Wall Street Journal, 4, 13, 33, 74, 105, 111, 42–47
130–131, 179, 235, 258, 317, 339, sales volume of, 42t
394, 446, 614 size of, 41–42

Copyright 2011 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
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Copyright 2011 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
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Copyright 2011 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.

Copyright 2011 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.

Copyright 2011 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.

Copyright 2011 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.

Copyright 2011 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s).
Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.