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Question: 1. Do you think ALDI could pursue its business model without developing strategic alliances with channel members? Discuss. 2. Discuss the concept of win-win in the context of strategic alliances in marketing channels. Marketing
Solution-
1. According to me, ALDI could not pursue its business model without developing strategic alliances with channel members. It focuses on its vendors more than its customers. Strategic alliances with vendors boost encouragement for developing packages easier in handling for the store as well for the logistic provider.
2. In my opinion, ALDI gives contracts to the local manufacturer for a limited period. This is done to maintain the quality of the products. Also, a minimum price guarantee can be obtained through this. So, obtaining a win-win condition.
Explanation-
According to ALDI, the customer will remain happy and satisfied if and only if they get high quality and low price products. Such products can be obtained only when there is a label of private manufacturers.
Contact with the local manufacturer is helpful in obtaining quality and also keeps the price minimum
References
Chimhundu, R., McNeill, L. S., & Hamlin, R. P. (2015). Manufacturer and retailer brands: Is strategic coexistence the norm?. Australasian Marketing Journal (AMJ), 23(1), 49-60..
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