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Research on the Designing and Running Strategy of Wahaha’s Channel

Author QiaoXueJian
Tutor WangHongQi
School Harbin University of Science and Technology
Course Business Administration
Keywords Marketing channel channel structure Sales strategy
Type Master's thesis
Year 2012
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Wahaha group has become the biggest beverage company through20years of development. However, in1994, it faced internal and external difficulties. Many innovative measures have been taken by the leader-Zong Qinghou in construction of marketing channels, which solved the problem of corporation cash flow and marketing risks and bring up a number of path resellers through the margin system and joint promotion mode carried out by his powerful boldness. With the squirrelly transformations of marketing economy and the increased competition, Wahaha group suffered a lot from production homogenization and oversupply, which was a big challenge for the existing channel’s joint promotion. How to design, manage the channel and expand the marketing the future business has became the important problem for Wahaha group.In such context, the purpose of researching in the designing and running of Wahaha’s channel is made clear by this paper. Embarking from the Wahaha’s existing joint promotion mode and margin system, this article makes a depth analysis of the channel structure and running problem. By investigating the marketing performance of Wahaha’s channel in length, width and scope, and comparing with the competitor’s channel operation mode, this artical finds out the problems of the existing channel structure and searches the roots of these problems, then it further designs out a channel structure that suits for market demands and Wahaha’s development. The other aspect of this research is to find out what resistances in the process of running that Wahaha’s channel faces, to analyze the specific reasons, and to make the channel operate smoothly by improving the driving force of channel, bettering production strategy and the style of human management. This article tries to look for the way to improve channel by designing and running the channel structure in order to achieve the ultimate goal that will help the company realize sustainable development.This paper uses the basic structure of designing distribution channels and management theory and it puts forward a feasible operational program to make their own channel strategy work more effectively based on the actual situation.As a banner in the beverage industry, the design of Wahaha’s operation channel has become the classical case in the Chinese fast consumer goods marketing. This artical will play a positive role in researching and solving channel problems.

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