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Direct Sales to Multichannel Supply Chain

In: Business and Management

Submitted By btramontina
Words 2853
Pages 12
Research Paper: Direct Sales to Multichannel Supply Chain
Activity 7.4
By
Brian K. Tramontina
Submitted to
Dr. Xavier Bruce
In Partial Fulfillment of the Course Requirements for
LGMT 682 Integrated Logistics

Embry-Riddle Aeronautical University
College of Business - Worldwide

May Term 2015 July 17th, 2015

Table of Contents I. Introduction…………………………… Page 3 II. Early Beginnings……………………….. Page 3 III. Common Ground………………………. Page 4 IV. Rabbit Ears to Multi-Channels………… Page 5 V. Benefits………………………………… Page 5 VI. Drawbacks…..…………………………. Page 6 VII. Effects on the Supply Chain…………… Page 7 a. Distribution Centers……………. Page 7 b. Inventory………………………. Page 8 c. Demand Forecasting…………… Page 9 VIII. Customer Interaction…………………… Page 10 IX. Conclusion…………………………………. Page 11 X. References………………………………… Page 12

Introduction
Many of the larger current retail stores in the outdoor goods industry got their start by practicing direct sales – that is they sold door-to-door and person-to-person. Sometimes they placed advertisements in newspapers and when they got a response or an “order”, they would pack it up and mail it out from their own house. Logistics probably was not a very important topic in the minds of those entrepreneurs back then and the supply chain was simply whatever they had that they could sell. The more they sold, the more successful they became and the more they had a need for larger facilities, more and a larger variety of stock and finally, they had to learn how to manage their supply chain.
Early Beginnings
Cabela’s is one of the leaders in the hunting, fishing, and outdoor gear industry and it dates back to the early 1960’s in Chappell, Nebraska where Dick Cabela and his wife started selling handmade flies out of their kitchen (Reference for…...

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