GS104: Intro to Environmental Science
December 31, 2013
The Red Rooster Restaurant: Distribution and Pricing Being that I am the marketing manager of a restaurant, my main goals are to make sure that the business maintains a profit and to get the word out about the business. I also need to use cost effective strategy so that I do not make the advertising more than what we are bringing in. Being that I have already done several marketing strategies with the post office and advertising via the internet, revamping the menu, doing surveys to see what customers want, and changing the overall structure of how we do business, I now need to concentrate on pricing and distribution of our food. I have noticed in the past some vendors that we have done business with in the past don't offer discounts on bulk, or they have it so that the prices are not competitive to our service. So I have now gotten a hold of other vendors and will consider doing business with them based on what they may have to offer.
Being that I have done a customer survey and found out what customers want, I will cater my ordering to those types of vendors, we have a signature hot dog, therefore I need to get a hold of a vendor that offers the size and the quality of hot dog we are wanting. I may try the same technique that Wal-mart does when it comes to their vendors, as they tell their supplies that they will pay the specific price and take it or leave it, I may just try that and hope that one vendor bites. Otherwise I will offer the terms and see if I can negotiate a deal that will be more beneficial to the company than what we have now. I also plan on letting the previous vendors they are no longer needed in the hopes that they will be willing to negotiate new terms.
“Distribution pricing is the price point you as the business owner chooses to extend to vendors who will then distribute your products. The price is commonly a percentage discount off of your retail price. The discount gives the distributor room to make a profit from sales of the product” (Balle, 2013).
I have also contracted a company to come into the restaurant and re-vamp the cooler and…