Marketing Apple Uses Several Distribution Research Proposal

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Apple's size and brand loyalty both assist the company in managing its distribution partners - it would be difficult for those partners to replaces Apple's business. With both FedEx and Best Buy, Apple forges direct partnerships based on mutual interest. This gives partner firms increased motivation, beyond the basic financial terms of the contract. Best Buy, for example, gives up floor space, motivating them to help make the arrangement work. The closeness of these partnerships ensures that each party is equally motivated.

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There are other methods for channel partner motivation as well. One common method is through the use of incentives, offering better margins or other financial inducements to convince the channel partner to give them preferential treatment. Other means of motivating includes superior training and customer service, such that it is easier for the partners to sell your company's products than your competitors. Lastly, exclusivity deals may provide guarantees of business in exchange for partnership.

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