Sunday, July 28, 2019
Marketing Assignment Example | Topics and Well Written Essays - 750 words - 9
Marketing - Assignment Example The provisions of an exclusive distributor agreement generally stipulate that the wholesaler/distributor/dealer or retailer would deal exclusively with the supplierââ¬â¢s products (Meese, 2005). Such agreements may also limit the geographical area where the channel partner can sell the manufacturerââ¬â¢s products. Exclusive dealer agreements help the manufacturers avoid market saturation. By building exclusivity in the contract, the manufacturers bind the channel member and ensure forced loyalty. At the same time, channel conflict is reduced since each member of the distribution channel is aware of the geographical limits where they can operate and sell products. These pacts are also a means for the manufacturers to maintain control over their products. The negative side of exclusive dealer agreements is that they curb the growth of the channel partner. To quite an extent, Evoââ¬â¢s global expansion plans are being thwarted by such agreements. While Evo accepts online orders and ships products worldwide, the retailer has to cancel oversees orders if the brands in question cannot be sold internationally due to contractual obligations. Evo may be able to negotiate better global distribution terms with manufacturers once it achieves massive scale. Retailers like Walmart are able to negotiate better terms with vendors simply because of the sheer volume of their purchase (Yanrong, 2013). Evo has a vast array of products in its repertoire. The retailer sells ski gear, snowboards, skates, bikes, outerwear and related accessories of different brands. It caters to the needs of all active sports enthusiasts. The company has a separate product assortment for men, women and children. Some of the popular brands that Evo sells include Adidas, Anon, Armada, Atomic, Bern, Bullet, Burton, DC, Electric, Element, Freestyle, Full Tilt, Globe, G-Shock, Jones, Matix, Nike, Orange, Patagonia, POC, Reef, Ride, Spy, The North Face, Timberland, Vans, Volcom, and Zeal. The sheer
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