Cigarette sales channel analysis.doc

 PAGE \* MERGEFORMAT 6 Cigarette sales channel analysis Cigarettes as a monopoly franchise fast moving consumer goods, and its sales channels with a ‘control’ features. But with China’s accession to WTO, inevitably require it to adapt to market competition rules. The first part of the conceptual understanding of channel Functional level of competition in the market, advertising levels, the price level, the evolution of the way up to now, competition has become increasingly concentrated in the channel level. Channel is the product or service to reach consumers, the process of the organization, carrier. Channel, as an important part of marketing activities, it plays a role of linking role. In the process of marketing activities, channel activities in the formation of three main processes: the physical ownership of the exchange process, capital of ownership transformation process and market information and application process. Enterprises through the channel and consumer market behavior occurred. The cumulative performance of multiple processes, constitute the performance of sales channels are operating. This performance enhancement depends on two conditions: First, to speed up the physical, monetary, exchange of information on three kinds of elements in the sales channels in the flow speed; two channels is to reduce operating costs. After the company set up sales channels will be faced with two such problems: First, how best to upgrade the performance of the operation of sales channels allows businesses to take advantage of sales channels to obtain substantial benefits and the ability to maintain and even further expansion of sales network of enterprises; second how to carry out business and sales channels between the distribution of benefits from the enterprises, channels, consumers balance between the three. Third, market segmentation Resources The tobacco industry enterprises ‘passive marketing’ so that it can not be driven by market demand, market p