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Article
Publication date: 18 April 2017

Luciano Thome Castro, Marcos Fava Neves and Jay Taylor Akridge

The purpose of this paper is to propose a channel incentive program conceptual framework. In order to do so, a consolidated theoretical effort was completed together with…

Abstract

Purpose

The purpose of this paper is to propose a channel incentive program conceptual framework. In order to do so, a consolidated theoretical effort was completed together with observations from two countries – Brazil and the USA – to build evidence toward the proposed framework.

Design/methodology/approach

This paper first proposes a theoretical framework for understating marketing channel incentive programs, conceptualizing it as being composed by four dimensions being control, benefits, exclusiveness and formalization, mediated by power distribution between dealers and manufactures. Second, the developed framework was used for a cross-country analysis. Three multinational firms, global leaders in the crop protection industry, were selected in Brazil and the same three were selected in the USA. For completing each case report for the six companies in total, 16 people were interviewed, besides documental research over companies’ documents.

Findings

The framework helped describing and understanding the different group of incentives used per firm and country. Indeed, there are much more similarities within Brazil or the USA, than the same company in these two countries. The institutional environment and the network structure were fundamental to understand why the power center was different in these two countries that resulted in different channel incentive programs. In the USA, programs are very clear and straightforward in regard to a powerful dealer. If the dealer develops five or six output tasks, margins would increase considerably. In Brazil, however, dealers have a wider array of activities accompanying output measures. If they perform well they receive support, but fundamentally manufacturers strongly influence dealers’ daily management decisions.

Research limitations/implications

The incentive programs analyzed are mostly based on the set of standard documents manufacturers produced for dealers and on interviews for clarifying the content of the documents. Therefore, manufacturers probably set some relationship aspects aside since “individual approaches” to dealers might exist that were not captured in this study. Another limitation is the application to one sole industry that may per se present particularities that could be inducted too far the conceptual model that was built.

Practical implications

The framework as suggested might first help to organize the thinking of first identifying the power distribution between manufacturer and dealers and understanding institutional and network underlying causes. The framework might then help to select the right performance measures, benefits while keeping exclusivity and formalization levels in mind. Several types of control measures and benefits are presented as examples that can be adapted to a particular situation. Special concerns should be considered when managing marketing channels with incentives in an emerging market, but mainly, one must recognize the need to identify resources limitations (financial, knowledge, or infrastructure). Second, institutions work quite inefficiently, which means that beyond legal enforcements, firms may rely heavily on additional coordination mechanisms such as incentives schemes and communication strategy to build a more social and bilateral control mechanism. Third, a manufacturer should recognize that even if they currently hold a less-dependent position to dealers, the dynamics of an emerging market may quickly change the dependence structure.

Originality/value

The paper brings together a literature review and consolidation over the topic of channel incentive programs, proposes a framework to be used by researchers or practioners and dive in three pairs of companies in different countries to analyze why management practice should be adjusted. Differences in developing and developed countries are highlighted and the impact on channel incentives.

Details

International Journal of Emerging Markets, vol. 12 no. 2
Type: Research Article
ISSN: 1746-8809

Keywords

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Article
Publication date: 1 December 2001

Marcos Fava Neves, Peter Zuurbier and Marcos Cortez Campomar

Research of existing literature reveals some models (sequence of steps) for companies that want to plan distribution channels. None of these models uses strong…

Abstract

Research of existing literature reveals some models (sequence of steps) for companies that want to plan distribution channels. None of these models uses strong contributions from transaction cost economics, bringing a possibility to elaborate on a “distribution channels planning model”, with these contributions and organizing the steps according to a sequence that would be useful for companies when reviewing the distribution process. This sequence was refined through in‐depth interviews with companies. Presents the final version of our model incorporating the results from the interviews.

Details

Journal of Business & Industrial Marketing, vol. 16 no. 7
Type: Research Article
ISSN: 0885-8624

Keywords

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Article
Publication date: 2 February 2010

Marcos Fava Neves

The purpose of this paper is to discuss the economic crisis of 2008/2009 and the major impacts on developing nations and food‐producing countries. Within this…

Abstract

Purpose

The purpose of this paper is to discuss the economic crisis of 2008/2009 and the major impacts on developing nations and food‐producing countries. Within this macro‐environment of food chains, there is concern that food inflation might come back sooner than expected. The role of China as one of the major food consumers in the future, and Brazil, as the major food producer, is described as the food bridge, and an agenda of common development of these countries suggested.

Design/methodology/approach

This paper reviews literature on causes of food inflation, production shortages, and investigation of programs to solve the problem in the future, it is also based on author's personal insights and experience of working on this field in the last 15 years, and recent discussions in forums and interviews.

Findings

The major factors that jointly caused food prices increase in 2007/2008 were population growth, income distribution, urbanization, dollar devaluations, commodity funds, social programs, production shortages, and biofuels. A list of ten policies is suggested: horizontal expansion of food production, vertical expansion, reduction in transaction costs, in protectionism and other taxes, investment in logistics, technology and better coordination, contracts, new generation of fertilizers and to use the best sources of biofuels.

Originality/value

Two major outputs from this paper are the “food demand model” that inserts in one model the trends and causes of food inflation and the solutions; and the “food bridge concept” that also aligns in one box the imminent major food chain cooperation between China and Brazil.

Details

China Agricultural Economic Review, vol. 2 no. 1
Type: Research Article
ISSN: 1756-137X

Keywords

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Article
Publication date: 3 April 2007

Marcos Fava Neves

This paper seeks to propose a new framework for the marketing planning process that is better adjusted to the modern operational environment, with particular emphasis on…

Abstract

Purpose

This paper seeks to propose a new framework for the marketing planning process that is better adjusted to the modern operational environment, with particular emphasis on the exploitation of collaborative “company networks” in optimising the potential of the plan.

Design/methodology/approach

A review of the academic literature of marketing planning, three participant‐observation case studies and a focus group, the latter two in Brazil, provided the conceptual input for a very detailed stepwise model for marketing planning in a network environment.

Findings

The new model, including its focus on collaborative action, earned considerable support among participants in the second and third phases of the research. The plan itself was found to be applicable in practice. Obstacles to the achievement of collaborating networks were identified, and solutions are proposed.

Research limitations/implications

The study proposes and tentatively tests a systematic, sequential framework for marketing planning. It also casts light on networks and working relationships from an unusual angle, which may be transferable to other contexts. Suggestions for further research mainly concern the application and testing of the new model in practice. Limitations concern the representativeness of the case‐study and focus‐group respondents, and the timescale.

Practical implications

The major managerial implication of this research study is the planning instrument it proposes and, tentatively, tests. It holds the promise of more making marketing budgets work harder, via more systematic planning and exploitation of the power of networks.

Originality/value

The proposed model differs from other marketing planning frameworks in treating the company to which it is applied as member of a network, not an individual. The study took place in a very large “second‐world” economy, a setting very different from those in which conventional marketing plans have been proposed and applied.

Details

Marketing Intelligence & Planning, vol. 25 no. 2
Type: Research Article
ISSN: 0263-4503

Keywords

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Article
Publication date: 23 November 2010

Marcos Fava Neves

The purpose of this paper is to discuss the need of sustainability in its three major pillars for the future: profit, planet and people. Actions for companies and…

Abstract

Purpose

The purpose of this paper is to discuss the need of sustainability in its three major pillars for the future: profit, planet and people. Actions for companies and governments are listed, and a more in‐depth discussion is performed towards one of the most viable clean and renewable fuels used by society until nowadays, ethanol. The basics of this industry, the experience of Brazil in 40 years of usage of this fuel to the car fleet and recent developments are raised.

Design/methodology/approach

Traditional case study methodology is used to focus the analysis on the sugarcane industry in Brazil. This case study of this industry, together with previous projects done in 15 years of experience in this industry, is used to reach the objective of showing how this integrated chain works and addressing the importance of ethanol as an energy alternative for China.

Findings

China can start adopting an E10 policy (10 percent of anhydrous ethanol blended to gasoline) to contribute to reduce transport pollution in major cities. In order to have ethanol, China may invest more in the country to produce ethanol from cane and from cellulosic sources. Instead of importing oil, substitute part of its imports and consumption towards ethanol, bringing a clean fuel to the country to be blended with gasoline. China can also develop second generation ethanol to be used and generate jobs and invest in producing ethanol in some African countries and even invest in ethanol production in Brazil and import to China.

Research limitations/implications

The paper is a suggestion of policies, based on the experience of Brazil. Further debate should be done to deepen the analysis of all possible points listed. It is based on a case study of one industry.

Practical implications

There is a preliminary suggestion of policies and strategies for the Chinese Government, together with possible partnership models and benefits to society.

Social implications

China can reduce dependencies on oil and on some unstable environments; generate jobs and employment; increase relationship with Brazil and African nations, which will be future suppliers of food also to China; reduce pollution in large cities, improving the quality of the air; possibilities of international investments for Chinese people and companies, making profits outside China and repatriating this resources and contribution to mitigate climate change over the world.

Originality/value

The paper brings to Chinese community information about one of the most competitive bioenergy programs on the world and suggests possible ways of partnering towards sustainable development.

Details

China Agricultural Economic Review, vol. 2 no. 4
Type: Research Article
ISSN: 1756-137X

Keywords

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Article
Publication date: 22 August 2008

Matheus Alberto Cônsoli and Marcos Fava Neves

The aim is to describe the analysis conducted by a leading company in the dairy (yogurt and fermented milk) sector in Brazil regarding the decision to implement a…

Abstract

Purpose

The aim is to describe the analysis conducted by a leading company in the dairy (yogurt and fermented milk) sector in Brazil regarding the decision to implement a door‐to‐door distribution channel, in which one of the authors was involved.

Design/methodology/approach

A brief overview of the marketing channels is presented and the descriptive case study method was used to present the main company information.

Findings

The paper describes the decision‐making process that was used to define how basic services like breaking bulks, product variety, special convenience and wait time should be performed in this case. It also emphasizes the main channel decisions, the channel objectives and the chosen door‐to‐door structure for the company described in the case study.

Research limitations/implications

Even though case analysis has a theoretical background, the decision process used here cannot be generalized, being only a guide for academics and practitioners about how company A addressed the direct marketing issue.

Originality/value

The paper presents specific analysis of the Brazilian yogurt market and use as theoretical background the strategic environmental analysis. As a real case, it can be useful for practitioners as reference for decision making, as well for teaching purposes for case studies with college and MBA students. Finally, the paper presents as main contribution a “method for developing new marketing channels”.

Details

Direct Marketing: An International Journal, vol. 2 no. 3
Type: Research Article
ISSN: 1750-5933

Keywords

Content available
Article
Publication date: 3 April 2007

Keith Crosier

Abstract

Details

Marketing Intelligence & Planning, vol. 25 no. 2
Type: Research Article
ISSN: 0263-4503

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Article
Publication date: 2 September 2014

Henrik Ringsberg

This paper aims to increase our understanding of perspectives on food traceability in four supply chain risk management (SCRM) approaches to ensure food safety. The…

Abstract

Purpose

This paper aims to increase our understanding of perspectives on food traceability in four supply chain risk management (SCRM) approaches to ensure food safety. The occurrence of food safety failures has led to increased attention on food traceability as a means of identifying the causes of deficiencies in supply chains.

Design/methodology/approach

This paper presents a literature review and synthesizes the broader domain of food traceability by analyzing perspectives based on SCRM approaches. In all, 129 published papers were selected and evaluated using content analysis.

Findings

A framework of SCRM approaches on food traceability is presented. Eight perspectives on food traceability are identified and grouped according to four SCRM approaches: food supply chain complexity and unique identification of goods (logistics management); transparency and interoperability (information management); in-house production and outsourcing (production management); and food quality and safety requirements and the monitoring of food characteristics (quality management).

Research limitations/implications

The findings provide an in-depth understanding and research suggestions for the management of traceability to ensure food safety in food supply chains. Conclusions are drawn from secondary sources, thus excluding empirical evaluation.

Practical implications

The implementation of food traceability can result in changes to existing management systems. This paper addresses the perspectives and management challenges that can influence the implication of food traceability to ensure food safety.

Originality/value

Perspectives on food traceability according to SCRM approaches are presented. Food traceability is analyzed using the philosophy of scientific framework and suggestions for further research are offered.

Details

Supply Chain Management: An International Journal, vol. 19 no. 5/6
Type: Research Article
ISSN: 1359-8546

Keywords

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