Literature review Panasonic air conditioner

Chapter 2
In this chapter will direct the researcher with the various concept and theories related to the
dealers or channel of distributor. The literature review for the Panasonic air conditioner research
product will simplify the research study by analyzing the theories related to the marketing, dealer
network, supply chain, quality services, meeting the customer satisfaction and making effective
methods to appoint the dealers to sell & service the Panasonic air conditioner. The literature
review will support the Panasonic air conditioner project in the area of recommending and
conclusion part by bringing the expert ideas as well as their suggestion in improving the dealer
system or selling methods to the customers. The literature review will discuss about the similar
topic research product on the electronic market and their recommendation will be incorporated
during the study.
Introduction
Meeting the customers in their place and serve those with the best a manufacturer can able to
offer to them. Changing environment of channel of distributor requires the prompt service
provider to the customer behalf of the producer to the customer at their door step (Elliott, 2009).
The services can be given to them in being with the manufacturer by opening a small or medium
size of retail outlet in the customer place. The customer will adapt to those product where the
manufacturer can able to reach with minimum distance from the location of customers resisting
(Cannell, 2010).
Direct selling Vs selling though intermediaries
The direct selling is the most efficient way to sell the goods and service since the manufacturer
able to meet their targeted audience in the place of manufacturer outlet or the place near to the
customers location (Stair, 2008). The direct selling has the many advantage due to the cost
reduction which mean the manufacturer not required to give any communication to the
intermediaries has it have not employed any of them. In the process of direct selling the
manufacturer involve his self in each and every action taken in the progress of his business. The
manufacturer has two kinds of head ache they are the production head ache of producing the
maximum possibility according to the capacity of his plant and the second kinds of head ache is
to find out the customer who will be the segmented people to buy his product. In the growing
world the direct selling concept is slowly going down since there is question of reach ability to
the mass amount of customers with the limited resources of the producer (Spirer, 2011).

Source: http://www.history-society.com/distribution-channels.html
Selling through intermediaries is the second option where the manufacturer got to sell his
product through an intermediaries or third party. The company wants to expand his boundary of
business within or across the nation requires the effective intermediaries like agent, retailer,
dealer, wholesaler etc. The selling through intermediaries would lead to give boundary less
business. In direct selling only the manufacturer and his employee would be finding their target
people with their limited resources to sell their goods and services but in the case of selling
through intermediary mean it is only the effort of manufacturer or employee or both would be
involved in the process of selling and also the more number of intermediaries with different
capacity would be involved in making the business in a larger volume (Karen, 2008).
Advantages of direct selling over the selling through intermediaries
Direct selling has got lot of advantage over the selling through intermediaries because the direct
selling is the best mean for producer to interact with the direct customers but in case of selling
through intermediaries is not actually (Casanova, 2011). The following are the advantage of
direct selling

Direct selling will help the producer to reach the location of the customer with the help of
his sales employee. In the case of selling through intermediary where the producer wont
be reaching his client directly (William, 2010).
The processes of direct selling the producer will spend only on his sale employee salary
but in the case of the producer have to give a share on the price of the product (Paul,
2007).
The feedback from the customer would be reaching to the producer directly since the
producer will be available at the point of sale so the feedback from the customer would
be reaching to the producer very quickly but in the case of selling through intermediaries

where will lead to slow down of information very late that too the information which are
required more importance according to the dealer (mary, 2010).
The customer would believe the producer more in the case of producer selling directly to
the customer as the customer would know the producer directly which will create the
trust on the producer and customer would buying the product confidently .
Producer can able to do any kind of changes in the features of the product as the producer
receives the feedback or suggestion from the customer immediately.
Producer would be having full control on the sales of his product in the case of direct
selling but in the case of selling through the intermediaries wont be having full control
by the producer (Sarah, 2010).

Advantages of selling through the intermediaries over the direct selling

The producer would be opting the selling his goods and services through the
intermediaries so as to minimize the activities of the producer
The selling though the intermediaries would help the producer to concentrate more on the
production function rather than concentrating on the marketing which is as equal to the
production function (Leslie, 2008).
Producer is able to reach to the global level of business since the intermediaries would
able to sell the goods and services to the mass
Producer can able to cut his expenditure upon the setting up the retail outlets and paying
salary to the employee who will be engaged in the process of selling the goods and
services.
Producer can able to give services in selling the goods and maintaining the relationship
after the sales can be done using an intermediary (Tull, 2011).
Selling through intermediaries would increase the base volume of the customer base for
any kind of company want to gain more and more numbers of businesses.
Selling through intermediaries is an essential requirement for any kind of multinational
company to establish their business at the level of international i.e. business establishing
across the boundaries of different nations(Davide, 2009)
Selling through intermediaries will be efficient since the dealer would be knowing their
local customers very well so he can able to persuade the product according to the taste
and behaviour of the local customers.
Selling through intermediaries will be very much effective since they have the good
contact each other and the dealer would know how to reach the customer by using right
promotional mix (Gary, 2011).
Barret (2010) argues that the stimuli can influences the behaviour and stimuli can be from
internal or external forces which make the person to behave in such a fashion. Philip (2010) the
marketing mix is composed of four Ps which form as a stimulus to motivate the customer to buy
the goods and services so as to fulfill the desire, needs and wants.
Marketing Stimuli

= Product

Place
Promotion
Price

Product: Anselmi (2008) states that the product is a basic or foundational function of any
organization to produce and offer for the customer. The product would be a stimulus to
the customer buy offering innovative features and benefit which a product can offer to the
consumer for a sale. The product features is an essential ingredient for to motivate the
customer to buy a particular product to fulfill the needs. Product should develop based
upon the taste of the consumer, preference of the consumer, form a solution to the
consumers problems and it should fit to the needs of the consumer ultimately. Product is
the superior functions of the organization in process of business and making the
marketing strategies. The product appearance and benefit is form the stimulus for the
consumer to buy the goods and services.
Place: Antti (2008) argues that the success of the product would depend upon the strong
channel of distributor since the channel of distributor or intermediaries is the person who
makes the possible of reaching the product to each and every consumer door steps. The
channel of distributor influences the decision making of the consumer or buying
behaviour of the consumer in selecting the brand or company or type of product since
they are the people who actually meet the consumer and convey the goods and services.
Place is form the marketing stimulus to make the consumer to buy the goods and services
of a specific service provider or manufacturer. Although the channel of distributor is an
additional expenditure to the manufacturer but this is the cheapest expenditure due to
manufacturer physical gos to the consumer and sell the product which would be costlier
than paying commission to the intermediaries.
Promotions: promotion is stimulus the consumer to buy or select a goods and services for
their consumption (Wong, 2009). Dave (2009) promotional activities of the marketing
merely communicate to the target segment of consumer or customer about the
manufacturer or sponsor what wants to communicates. The promotions are the stimuli to
motivate the target segment customer to make buying or purchase decision to buy the
goods and services. Communication is the strongest tools to the marketing by which the
marketing can reach the target segment customer and influence their buying behaviour so
as to favour them. Advertisement is said to be strongest tools to position the goods and
services in the minds of the target segment and define the behaviour of consumer in
buying his product in the market. Advertise is said to be non paid form of communication
since the sponsor or manufacturer would not physically present in the place of consumer
to convey the detail or message what the manufacturer wants to communicate. Sales
promotions are the tools which make the consumer to make continuous purchase of
goods and services (John, 2009). Sales promotion is a stimuli to make the customer to
buy the goods and services or make the customer to buy additional goods and services or

make the customer to refer to their know person to buy the goods and services or make
the customer to impulse buying.
Price: Veronica (2009) describes the price is the motivational factors for some of the
segment of the consumer to make the buying decision or define the buying behaviour of
the consumer. Price is such an essential factors in the process of buying behaviour which
favour the customer to buy particular product. Price is the criteria set by the consumer in
buying decision. The consumer mind set favours those products which influences the
consumers best product for the price which the consumer pays to purchase the product.
Price strategies would the motivating factors which direct the consumer buying
behaviour. Fix the price is a critical function of the management because fixing the price
so low would convey the quality of product is inferior. The price is fixed below higher the
expected level of the consumer than the product would be not be recognized by the
consumer, so fix the price which the consumer can able to give his or her full accept to
use or buy the product.

Marketing channel of member

The marketing has the different reach option to the producer to make choice of it and reach their
customer using this channel. The channel of member are said to be intermediaries who can be
mediating between the producer and the customer about the product feature to the customers as
well as the customer or people feedback on the improvement of the producers product to the
producer. The channel of member is in the form of elastic kind of nature which can be
expandable as well as contrastable as per the requirement of the customer as well as the nature of
product. The expandable of channel member means the producer can create the size of
intermediaries at huge size to reach the customers who are in rural and remote reach so as to
maximize his marketing at wide range scale of business. Channel of member can be contrastable
since the size of the channel member not required to be very long but it should be as short as
possible so that the maximum business can be done by the producer rather giving complete
control of marketing to the channel member.

source: http://www.consumerpsychologist.com/dist_Channel_Structure.html
the diagram give information related different combination of channel member available to the
producer in this case the producer is the farmer who want to sell his product across to customer
different combination of the channel of member with the requirement of business accordingly.
The farmer wants to reach his customers from the smaller location to the larger location. The size
of the channel of members would be creasing as the farmer wants to increase his business size
i.e. size of the customer volume from small number to the large number. Combination of
different channel of member for the farmer as follows:

Farmer to direct consumer

The first combination of channel of member is to start from the farmer to the direct
consumer which is said to be direct marketing. The straight marketing relationship would
be built by the farmer with their customers in this case the farmer would be knowing his
customers and the customer would be knowing the selling i.e. farmer so the relationship
in this type of channel of member would be direct and no intermediaries are found in this
type of relationship. The farmer would be enjoying the entire profit earned from the sales
since the channel of selling is direct and there is no requirement for the farmer to share
the profit with any one like in the case of intermediaries where the farmer used to share
his profit to his channel of members by fixing certain percentage of commission on the
selling price of the product.
Farmer to retailer to consumer
The farmer to retailer to consumer is the second combination available to the producer to
sell his goods and services to the larger volume of the customers. In this case the farmer
would be approaching the retailers in the locality of his customers availability and keep

tie up with the local agencies to sell his good and services. In this option the farmer
where decided to sell his goods at a large scale when compare to previous type of channel
of member since in the previous type where the farmer has to establish the retail stores of
his own set up and persuade the customers to buy his goods but in the case the farmer
will be approaching to the different retail store and convincing the retailer to market his
product to their customers for a certain percentage of commission on the sales made by
them. The biggest advantage in this method is that the farmer would not be having the set
up cost as in the case of previous type of channel where the farmer needs to open his own
outlet to sell the product. In farmer to retailer relationship would reduce the effort of the
farmer in persuading the customer to buy his product where this function have been taken
care by the appointed retailer by the farmer who will act behalf of the farmer in
persuading and making the people to buy the goods for a best price. The retailer will be
benefited by selling one more additional brand to his customers by having agreement
with the farmer to sell their goods and services. The retailer will not sell one brand of
product but he will sell different brand of brand which mean the retailer would be inviting
his customer with larger volume of brand so that the customer would be having option to
select that brand which will have the characteristic to solve the requirement and need of
the customers.
Farmer to wholesaler to retailer to customer
The third combination of channel of member is bigger than the previous size of the
business due to make business of farmer at very larger size when compare to the previous
style of farmer to retailer to customer model. In this case of channel combination will be
huge size due to the farmer wants to reach his customers at a big way with huge volume
of business as well as the farmer wants to cover his customers at wider range like selling
his goods at the national level. The farmer to wholesale to retailer to customer model
would be fit to those kinds of business which requires reaching almost all the parts of the
national at larger volume of customers with big size of business. The volume at which the
farmer would be selling to the wholesale will be bulk quantity in size and there will no
sale of units or small quantity of goods. The wholesaler is the best option for any kind of
businessman to increase his business volume at large range because as the name suggest
the wholesaler means the person who will buy the goods and services at greater volume
from the manufacturer or farmer and target the retailer but not the customers. Although
the wholesaler target the retailers but not the customers but then also the wholesaler have
to select or appoint his retailers based upon the availability of target customers for the
product which he has offered by the manufacturer or farmer. The retailer are quite
different from the wholesaler due to they will sell the goods at a smaller quantity or in
single unit to their customers as per the requirement of the customers and take small
quantity of commission. The commission of single unit will be smaller to the wholesaler
when compare to the commission of gets by the retailer by selling single unit but
wholesaler will make good money by selling the goods at a larger volume but retailer
would be making money selling goods at smaller volume with good margin of sale price.

Farmer to agent or broker to manufacturer to wholesaler or dealer to retailer to customer

model
The model has the bigger chain of channel of member where the farmer want to reach to
their manufacturer through some mean of channel of member because the manufacturer
would be buying at very high volume of goods which the farmer cannot able to make that
much good volume of business by selling his goods to directly to the customers or selling
the goods through the retailer to the customers or selling the goods through the
wholesaler to retailer to customers. The manufacturer would be buying almost complete
volume of goods that the farmer able to produce from this farming field. The
manufacturer cannot be satisfied from buying the goods from one single farmer but the
manufacturer requires large numbers of farmer who can able to satisfy needs of goods
which said to be the raw materials for his production of finished goods. In this option the
farmer where decided to sell his goods at a large scale when compare to previous type of
channel of member since in the previous type where the farmer has to establish the
relationship with wholesaler and from wholesaler to retail stores and persuade the
customers to buy his goods but in the case the farmer will be approaching to the different
wholesaler store and convincing the wholesaler to market his product to their retailers for
a certain percentage of commission on the sales made by them. The biggest advantage in
this method is that the farmer would not be having the set up cost as in the case of
previous type of channel where the farmer needs to open his own outlet to sell the
product. Wholesaler will be approaching to the different wholesaler store and convincing
the retailers to market his product to their customers for a certain percentage of
commission on the sales made by him.
Manufacturer will create the giant channel of members to marketing his finished goods
which he has been processed from the raw materials have been brought from the farmer
through intermediary. In this case of channel combination will be huge size due to the
manufacture wants to reach his customers at a big way with huge volume of business as
well as the manufacturer wants to cover his customers at wider range like selling his
goods at the national level. The manufacture to wholesale to retailer to customer model
would be fit to those kinds of business which requires reaching almost all the parts of the
national at larger volume of customers with big size of business. The volume at which the
manufacturer would be selling to the wholesale will be bulk quantity in size and there
will no sale of units or small quantity of goods. The wholesaler is the best option for any
kind of businessman to increase his business volume at large range because as the name
suggest the wholesaler means the person who will buy the goods and services at greater
volume from the manufacturer and target the retailer but not the customers. Although the
wholesaler target the retailers but not the customers but then also the wholesaler have to
select or appoint his retailers based upon the availability of target customers for the
product which he has offered by the manufacturer.
Manufacturer would be appointing the dealer as an intermediary due to the nature of
product which he has produced and sell. The dealers almost do the role of intermediaries

in selling the goods and service for the commission and make the customer to buy the
goods of the manufacturer.
Process of selecting the channel of members
The channel of member are the real promoter of goods and services of the manufacturer but the
manufacturer will end up with the failure if the manufacturer have fail to select the right channel
of member model and appoint the right person as the channel of member. The manufacturer
would be said to be successful manufacturer when the manufacturer can able to fix the right
channel of member of model and appoints the right person as the channel of member. The
manufacturer requires right information and good process of selecting the channel member to
market his goods to their customers. The manufacturer has to final methods and procedure to
select the channel member. The methods to appoint the channel member to distribute his goods
as follows:

Source: http://www.atkinson.yorku.ca/~lripley/imUplace.htm
Supply chain management
Kumar (2009) in his theory talks about supply chain management is an important part of the any
organization or business. The supply chain management does not mean only transporting the raw
material or semi finished goods or finished goods but it is also as the concept of transporting the
document from one place to another or from one company to clients Company. Transportation
of documents will be very costly affairs for any organization by delivering the documents in
person by the company but the courier companies has made this process as simple. The money
charged by Courier Company is very much minimal and cheaper in sense of reaching by the
company to their client in person. Simchi (2007) states that designing a supply chain model or
developing a solution to move the sophisticated goods from one place to other place is a
challenging job.

Source: http://karnataka.inetgiant.in/mangalore/addetails/supply-chain-management-logisticsexecution-oprations/2778408
Movahedi (2009) describes that the supply chain management as different elements to be
managed. The some of the parts are asset management, procurement, logistic, supply chain
planning and supply chain strategy.
Logistics
Sornette (2009) states that the logistics is the key role function of the service industries because
the customer would expect faster service at reasonable time. The customer always would bench
mark the performance of any services organization and the organization would prefer they to
meet the benchmark by satisfying the customer in all possible corner of business. Customer
decision on selecting a services or product will be based on two criteria they are the services
offered by the service producer for a set price and quality that the services provider gives to the
customer at fixed price. The customer would be satisfied by the quality with the price than it can
benchmark that particular services provider as the best in the industries otherwise the customer
would look for the alternative in the market.

Cognitive style decision making

Cognition is known as the mental process happen at the mind of the human being. Study of
cognition is the study of the thinking process of a human being. Keith (2010) argues that the
human being will think and support those thinks which is favors him or her. The customer would
buy those goods and services which has created good impact on his mind about the services or
services producer or goods or manufacturer.

Source: http://www.thefullwiki.org/Cognitive_psychology
The human being thinking process is done based upon the cognition elements they are in brief as
follows:

Perception: perception is one of the elements in facilitating the thinking process of human
being or customer. Perception will create images about the product or company or person
or any things in the mind of the human being. Each item does the person come across in
his life; he or she will create the certain values for that item. Based upon the value the
human will more or less attention to that item. Every customer would create value for
each company and the product. This value will decide the important of the item in the
mind of the customer and the customer only give importance to these items in his or her
thinking process if has more values (Bruce, 2011).
Attention: the attention is driven the strong value or perception about the company or
product in the mind of the customer. The customer would give more attention in his or
her thinking process of buying the services or goods based upon the perception. This
perception would give attention to the customer on deciding the brand. Attention play is
role in acquiring the information for the first time by the customer and second the
attention comes in the thinking process of the customer on deciding the purchase decision
(Goldstein, 2011).
Language: language is used by the human being to communicate to the others about the
information or data which he or she wants to share. There different types of language are
available in the world and these languages are unique. Bower (2010) human being thinks
with the help of language. Each language is influenced by the culture and society which
is influenced in the thinking process of the human being.
Human intelligent: Padian (2009) argues that the level of thinking process is depending
upon the human intelligent. The human intelligent is more than the thinking of the
customer would quality and very much appreciated. The human intelligent is less than the
process of thinking of the customer would be lower in quality and very much illogic
sometimes.
Memory: Jens (2010) describes memory as the two types they are short term memory and
long term memory. This memory is form the basic foundation for the human or customer

in the process of thinking. The memory act as an input device to the customer in process
of thinking and selection of service product or service provider. Memory is gift by the
nature to the human kind, by which human can able to acquire, select, store and retrieve
the information whenever he or she needs. The memory will elaborate all the information
that will be stored in the mind of the human being. Suppose any information is stored in
the mind of the human being it will not just like that will be stored instead the
information will be linked with store information and based upon the relation with other
information it will be stored.

Source: http://en.wikipedia.org/wiki/File:Memory.gif
The memory is influenced by the social and culture, based upon the cultural factor the
memory of the person will be designed. The method of information storage and recall or
retrieval of information will be influenced by the cultural elements. These cultural
elements would influence the thinking process of the human being (Brockmeier, 2010).

Quality of the services

Quality is the sign of purity or genuine or safe or values. The services industries since their
products are intangible so the quality of services is the real challenges do a service provider
would face in the course of business. The services quality is decided by the customer not by the
service provider since the customer would different types of services provider in the market and
these services provider would fix the quality of the services (Solomon, 2010).
Quality of the services is depend upon the standard fixed by the customer since the services
product is heterogeneity in nature and could not deliver the same standard continuously. The
services provider needs to depend upon the customer to decide the quality of the services after
the consumption of the services.
Characteristic of the services
The different between services product and physical product is the characteristic which is defined
between them. The services product has got the unique features and characteristics when
compare to the physical product. Alan (2009) describes the services products are in intangible in
nature, inseparability, highly perishable and variability or difficult to fix the standards.

Source: http://www.yorku.ca/lripley/imUproduct.htm
The characteristic of service product as follows:

Intangibility: the service products are intangible in nature. The intangible means the
customer cannot see the product physically but only he can realize the product by realized
(Kah, 2008).
Inseparability: the service products are in the nature of inseparability. The inseparability
means the customer needs to consume the service product simultaneous when it getting
produced. The production and consumption of services cannot be separated which should
go together.(Pilkington, 2008)
Variability: the services are in heterogeneity in nature. It is difficult to fix the standards
for the product. The same service provider would produce the service product at different
taste or standard or quality each times (Alan, 2008).
Perish ability: the services cannot be store in form and services needs to consume during
the production time. The life of the services product is very short and life is as short as
should consume as the services produced (Chai, 2008).

International service marketing strategy

Source: http://www.fao.org/docrep/article/wfc/xii/0483-a1.htm

The diagram shows the important elements in the international service marketing strategy. John
(2009) states the service organization that does its business activities entirely or partly across two
or more countries than that organization or company is said to be international service company
or organization. The main reason for the corporate to go for globally is to penetrate the world
market in different countries, maximization of profit, increase the business size, increase the
sales volume, establish channel partner globally, reach maximum business possible globally etc.
to achieve such kind of objective the service organization needs to analyze the international
environment thoroughly and make effective marketing strategy. The international marketing
strategies have four main components they are segmentation, positioning, international
marketing research and effective service marketing mix. Each in details as follows:

Segmentation: the segmentation is the process followed by the international service

organization in knowing their target customer. The segmentation as the series of process
in knowing the target customer for the organization for which it will divide the market or
country in to different identical groups with identical buying behaviour, usage behaviour
and consuming behaviour where categorized into distinct, identical and homogeneous
groups as well as sub groups (Antonios, 2010). These groups and sub groups are divided
into identical group based upon the similar characteristic behaviour and various attributes
of behaviour. International marketing segmentation can be useful for the following
reasons:
o The segmentation will lead to have greater understanding of their customer in the
international marketing environment so accordingly the organization or
international service company can have effective promotional tools for their
consumer. The product can be altered according the customer usage behaviour
(Chorianopoulos, 2010).
o Tailor made product can be offered to the target customers.
o The segmentation would help the service organization in the process of selecting
the adequate service channel and sales policy (Tsiptsis, 2010).
Positioning: positioning is the process come after the international service organization
has successful finalized his target customer and target market. The target market is the
place where the target customers are available. Positioning is the key functions of any
international service organization due to customer need to buy their product. The position
is the concept developed since the organization wants to established his brand name and
image in the mind of the target audience in the particular target market so as increase the
sales and win over the competitions (Samama, 2008). Positioning requires effective
marketing promotional tools to position the product and brand in the mind of the target
customers (Kurzt, 2008). The successful positioning is depends upon the success of the
marketing promotional tools.
International service marketing research: the international service marketing research is
the mandatory functions of the international service company in knowing and well
understanding the market situation, market environment and customer behaviour (Gilly,

2010). The research is the vital part in international service organization before they start
their business operation in the country. The research will indicate the possibilities of
business in the market and acceptance of service product among the customer. The
service marketing research would indicate the needs of altering the existing product as
per the wish and taste of the consumer. Consumer only by those goods and services
which is suits him or her best manner.
Service marketing mix: Kotler (2011) describes the service marketing mix strategy need
to be formulated with the insight of seven Ps. The seven Ps of service marketing mix
strategy as per the Kolter (2011) given below.
Service marketing mix: Kotler (2011) describes the service marketing mix strategy need
to be formulated with the insight of seven Ps. The seven Ps of service marketing mix
strategy as per the Kolter (2011) given below.

Source: http://www.marketing91.com/service-marketing-mix/
o Product: Anselmi (2008) describes that the products are of two kinds they are
tangible product and intangible product. The tangible product denotes the physical
goods which can be seen, tough and feel about the product existence. This product
can be transferred from one place to another place without changing the identity.
The tangible has the features of claiming the ownership of the title and
transferring the ownership from one person to another person. The intangible
products are called service product.
o Pricing: pricing should able to achieve what the seller from the sales as well as
what the buyer wants from the purchase (Mark, 2010). Pricing should aim to
maximize the profit without any scarifies in the process of marketing. Pricing
strategy should be based upon the organization mission, aim and objectives. The
quality of the service product will be finalized by the price fixed by the service
organization. The consumer feels the quality of service product based upon the
values does the customer paid to the seller or service provider. The quality of
service delivery would define the level of satisfaction does the consumer would
able to derive from.

o Promotions: promotions are the major P in the international service marketing mix
strategy because this P creates the customer for the company. The promotion is
directly or indirectly communicates the target customer about the information
which the service provider wants to convey (David, 2008). The promotion
sometime persuades the target customer to buy the particular service provider
product for their consumption. Promotions basic job is to communicate.
Promotions can be done based upon the types of customer, size of market,
competency of the competitors, reach ability to the target audience etc.
o Place: the place would talks about the reach of product to the target customer
physically. The manufacturer cannot able to travel the entire place where the
customer would be available throughout the country and world but the service
provider or manufacturer requires the intermediate to reach the mass (Antii,
2008).
o People: since the international service product is in the form of intangible nature
so the major parts of the service is done by the employee or people. People are the
key asset to the service organization because they are the people who actually
represent the service organization, interact with customer and deliverys the
service product (Kumar, 2009).
o Process: the service product is combination of different process where the
consumer and service provider cannot be separated during the production of
service product. The service product need to be consumed simultaneously (Micah,
2010).
o Physical evidence: Kolter (2011) describes that the physical evidence authorizes
the customer to enjoy the service product. Although the service product is
intangible in nature but it requires the tangible equipment to produce the service
product.
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Further reading:
John Adair (2009) Effective Decision Making, PAN
Gregory S. Parnell, Patrick J. Driscoll, Dale L. Henderson (2010) Decision Making in
Systems Engineering and Management, John Wiley and Sons
Robert H. Vaughn (2010) Decision-Making Training, American Society for Training and
Development
American Society for Training and Development (2011) Decision Making Process in Public
Education Centers in Istanbul, LAP Lambert Academic Publishing

Jennifer E. Ohs, The Pennsylvania State University (2008) Health-care decision making at
the latter end of the lifespan, ProQuest
Ali Mostashari (2011) Collaborative Modeling and Decision-Making for Complex Energy
Systems, World Scientific,
Tim Hartnett (2011) Consensus-Oriented Decision-Making: The CODM Model for
Facilitating Groups to Widespread Agreement, New Society Publishers.
John, Deborah Roedder (1999): "Consumer socialization of children: A retrospective look at
twenty-five years of research", Journal of Consumer Research, Vol. 26, No. 3, pp. 183213
Cornell, Kate (2010). WebKaizen, Better Faster Cheaper Problem Solving for Business.
Omaha NE: Prevail Digital Publishing. ISBN 978-0-9831102-1-7.

Gillham, B. (2008). Developing a questionnaire (2nd ed.). London, UK: Continuum

International Publishing Group Ltd.

Gray, P.O. (2010). Foundations for the study of psychology. Psychology (6th ed.). New York,
New York: Worth Publisher
Wright, Erik Olin ed(2005).. Approaches to Class Analysis (scholarly articles)
Sir Francis Bacon (2009) Quotationspage.com. Retrieved 2009-07-08.
H.J. Adr & G.J. Mellenbergh (2008) (with contributions by D.J. Hand), Advising on
Research Methods: A consultant's companion (pp. 211--236). Huizen, The Netherlands:
Johannes van Kessel Publishing.
Davide Giovanni Papa, Lorna Elliott (2009) International Trade and the Successful
Intermediary, Gower Publishing, Ltd
Lin Tull Cannell (2010) The Intermediary: William Craig Among the Nez Perces,
Ridenbaugh Press
Leslie Stair, Lila B. Stair (2008) Careers in Marketing, McGraw-Hill Professional

Gary Spirer (2011) Quick Steps To Direct Selling Success: Turn Your Relationships Into
Money, Morgan James Publishing
Karen Phelps (2008) Ultimate Guide to Direct Selling: Simple Ideas to Increase Sales and
Recruiting, Advantage Media Group
Erynn Masi de Casanova (2011) Making Up the Difference: Women, Beauty, and Direct
Selling in Ecuador University of Texas Press,
William M. Pride, O. C. Ferrell (2010) Marketing Express, Cengage Learning
Paul Zane Pilzer (2007) The New Wellness Revolution: How to Make a Fortune in the Next
Trillion Dollar Industry, John Wiley and Sons,
Mary Christensen (2010) Be a Party Plan Superstar: Build a $100,000-a-Year Direct Selling
Business from Home, AMACOM Div American Mgmt Assn
Paul Edwards, Sarah Edwards, Peter Economy (2010) Home-Based Business for Dummies,
John Wiley & Sons
1.