LEARNING OBJECTIVES

• Understand the central role played by end-users and their demands in the design of marketing channels.
• Define “service outputs” and identify and analyze them.
• Recognize how to divide a market into channel segments for the purposes of marketing channel design or modification.
• Understand how to target channel segments to optimize sales and profits.
• Evaluate when and whether to try to meet all expressed service output demands in the short run in a particular market.
• Describe the relationship between service output demands and solutions to overall channel design problems.