Logistics and Distribution Management
Tutorials
Perform a distribution environmental analysis of an organization of your choice
in Zimbabwe
A distribution environmental analysis involves assessing the internal and external factors
influencing logistics operations. For instance, Pick n Pay Zimbabwe operates under
economic volatility, high inflation, infrastructural challenges, and currency instability.
Externally, factors such as government regulations, competition, and technological adoption
influence distribution. Internally, resource allocation, warehousing capacity, and IT systems
determine efficiency.
Explain the importance of the distribution function in relation to the other
traditional P’s of marketing
Distribution (Place) complements Product, Price, and Promotion by ensuring goods and
services reach the target market at the right time, place, and condition. Without effective
distribution, even a competitively priced and well-promoted product cannot achieve
customer satisfaction or market penetration.
Demonstrate your appreciation of the different flows in distribution
Distribution involves several flows: (1) Physical flow of goods from producer to consumer,
(2) Information flow regarding demand, supply, and order processing, (3) Financial flow
including payments and credits, and (4) Promotional flow that stimulates demand along the
channel.
Explain and distinguish the different types of distribution intensity
There are three main intensities: Intensive distribution (placing products in as many outlets
as possible), Selective distribution (using a few carefully chosen outlets), and Exclusive
distribution (granting rights to a single retailer in a specific territory). Each serves different
strategic goals.
Discuss the growing importance of marketing channels
Marketing channels are critical as they bridge producers and consumers, reduce transaction
costs, enhance product availability, and improve customer experience. With globalization
and e-commerce, efficient channels create competitive advantage by reducing lead times
and ensuring customer satisfaction.
Discuss the importance of third Party Logistics providers (3PL) in international
logistics process
3PLs offer outsourced logistics services such as warehousing, transportation, and freight
forwarding. In international trade, they reduce costs, enhance flexibility, and provide
expertise in customs clearance, cross-border documentation, and global supply chain
visibility.
What is distribution planning
Distribution planning is the strategic process of determining how products will move from
manufacturers to end-users efficiently. It involves route optimization, warehousing,
inventory management, and transport selection to balance cost and customer service.
Highlight the challenges found in distribution planning
Challenges include poor infrastructure, high fuel costs, inflationary pressures, inadequate
warehousing, regulatory barriers, fluctuating demand, and technological gaps. In Zimbabwe,
economic instability and unreliable power supply also complicate planning.
Explain the nature of distribution conflict
Distribution conflict arises when channel members pursue competing goals. This may occur
horizontally (between retailers), vertically (between manufacturers and wholesalers), or
multi-channel conflicts (between online and offline outlets).
Discuss the various forms of resolving distribution conflict
Conflicts can be resolved through negotiation, mediation, arbitration, or restructuring of
agreements. Strong communication, trust-building, and formal contracts also minimize
conflicts.
Detail the roles played by channel participants
Manufacturers create products, wholesalers break bulk and provide storage, retailers
deliver to final consumers, and logistics providers ensure transportation and warehousing.
Facilitating agents like banks and insurers support financial and risk management aspects.
Explain the ways you can ensure good channel relationships within the Vertical
Marketing System
Trust, transparency, information sharing, joint planning, fair contracts, and performance
monitoring help maintain good relationships within Vertical Marketing Systems (VMS).
Discuss the options you have in creating competitive advantage within the
Vertical Marketing System
Options include cost leadership through efficient logistics, differentiation via superior
service, adoption of technology for visibility, and strategic partnerships for resource
sharing.
What are the roles of 3PL and 4PL in international logistics trade. Explain with
examples
3PLs handle specific outsourced functions (transport, warehousing), while 4PLs manage
entire supply chains as integrators. For example, DHL (3PL) offers freight forwarding, while
Accenture (4PL) designs integrated solutions for multinational firms.
Explain the application of modern technological advancement in today’s
logistics system
Technologies such as RFID, GPS tracking, Warehouse Management Systems (WMS), drones,
and blockchain improve accuracy, transparency, and efficiency. E-commerce has
accelerated adoption of such systems globally.
Explain the following concepts
Electronic Data Interchange (EDI): Digital exchange of documents between trading
partners.
Green logistics: Environmentally friendly logistics practices.
Reverse logistics: Process of handling returns, recycling, or disposal.
Optimal level of inventory: Balancing stock to avoid shortages or overstock.
Outbound logistics: Movement of finished goods from producers to consumers.
Discuss the role of facilitating agencies in the physical distribution channels
Facilitators include banks (financing), insurers (risk management), ICT firms (tracking and
communication), and freight forwarders (documentation and customs). They enable
smooth functioning of distribution systems.
Explain the channel planning process
Steps include analyzing market needs, setting channel objectives, evaluating alternatives,
selecting intermediaries, designing channel structure, and monitoring performance.
Discuss the factors affecting the intensity of distribution
Factors include product type, cost, market coverage, competition, brand positioning, and
consumer preferences. Luxury goods prefer exclusive distribution, while FMCGs use
intensive strategies.
Explain the possible outcomes of conflict
Conflict may result in improved performance (constructive conflict), damaged relationships,
inefficiency, or even channel dissolution.
Critically analyse the different basis of power in the Vertical Marketing System
Power bases include coercive (threats), reward (incentives), legitimate (formal authority),
referent (influence through reputation), and expert power (specialized knowledge).
Effective VMS leverages positive power bases to sustain cooperation.
Explain the factors you would consider in choosing specific distribution channel
Key considerations include cost, product characteristics, target market, competitor
strategies, channel member reliability, geographic coverage, and customer service
requirements.