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Vertical Marketing as a Model of Cooperation Between Car Manufacturers and Car Trade

Author

Listed:
  • Zeljko Sudaric

    (Polytechnic of Lavoslav Ruzicka in Vukovar)

Abstract

The last element of the marketing mix is the distribution and marketing channels in the automotive industry, which determine how cars will arrive at customers and end users through sales and distribution activities. Car manufacturers, regardless of how their product was excellent, must provide this value to its customers carefully selecting partners in the channel, because if its agents have poor sales in comparison to the competition the value of the product is irrelevant and unworthy. For the distribution of cars is particularly important capability for monitoring and forecasting application delivery vehicles, handling of customers by working services delivery and the reduction of global inventories. The most important criterion of delivery of cars is the buyer and its evaluation regarding the quality of delivery, which is important for car manufacturers in terms of when it is supplying its distributors and has no direct close contact with the end user. More about distribution channels, especially the vertical marketing system, and the most frequent type of contractual relationships in the automotive industry we show in this paper. Also, the purpose of study is to emphasize the problems of all participants in the reference system of marketing of the manufacturer that makes a profit, of customer to satisfy their needs, as a trade partner to manufacturers in a particular market, their marketing performance by enabling operation of the entire value chain, but also society as a whole, which is burdened with problems of environmental pollution, lack of energy and other similar problems.

Suggested Citation

  • Zeljko Sudaric, 2011. "Vertical Marketing as a Model of Cooperation Between Car Manufacturers and Car Trade," Business Logistics in Modern Management, Josip Juraj Strossmayer University of Osijek, Faculty of Economics, Croatia, vol. 11, pages 91-96.
  • Handle: RePEc:osi:bulimm:v:11:y:2011:p:91-96
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