11
Contents
27
Physical Distribution 
334
Activities of Physical Distribution  335
Components of Physical
Distribution  335
Modes of Transportation  337
Distribution of Services and Ideas  340
The Distribution Process  340
Distribution Plans  342
Channel Management and Physical
Distribution  345
Ethical Considerations in Channel
Management  346
28
Retail Inventory 
349
Inventory Planning  350
Stock Handling  352
Inventory Control  355
29
Internet as Place 
365
E-Commerce Basics  366
Marketing on the Internet  368
Business-to-Business on the
Internet  369
The Internet as Retail Place  370
Multi-Channel Retailing  376
Distribution on the Internet  377
Distribution for E-tailers  378
Future of E-tailing  379
Part Six
Price Dynamics
What price should you charge?
30
Profit and Loss 
386
Finance Basics  387
Financial Reports  391
Financial Planning  394
31
Risk Management 
398
Types of Risks  399
Liability  402
Managing Risk  402
32
What Is Price? 
414
Types of Prices  414
Factors That Affect Price  416
Southwest Airlines—
Still Profitable After All These
Years  425
33
Price Determination 
429
Pricing Objectives  429
Effect of Price on Revenue  433
Establishing Prices  435
Part Seven
Promotion
Dynamics
How do you communicate with
customers?
34
The Communication
Process 
442
What Is Communication?  443
The Communication Process  444
The Message  445
Medium  447
Feedback  448
Interference with Communication  450