Essays on Personal Selling - ALDI Case Study

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The paper "Personal Selling - ALDI" is an outstanding example of a marketing case study.   It is apparent that ALDI utilizes a robust channel which is integral in meeting the specific needs of the consumers in the market which is central to the B2B marketing strategy. This is best epitomized in the distribution channel tasks whereby the nature of the relationships between this company and its suppliers ensures that the products which are shelved at ALDI are not only of the highest quality but also of lower prices when juxtaposed with those other competitors.

This has been central in both the shot and long-term sustained competitive advantage of this company. This is founded on the belief in the ALDI than the consumers will be able to stick with the company as long as it is able to provide high-quality goods at the lowest possible prices. This is exemplified whereby having long-term contracts with the suppliers, for instance, fresh bread manufacturers. With ALDI contracting to exclusively purchase fresh bread from a specific bakery over a period extending up to five-years (with quality stability guaranteed) and at a certain minimum price is key in ensuring both the short and long-term quality of the products which it provides to the consumers at a low stable price as evidenced in the following figure.   Figure 1.0: Distribution Channel Task This price-quality relationship in influencing purchasing decisions by consumers has been revealed by diverse scholars, for instance, Peterson and Wilson (1985) who supposed that consumers might assume a positive relationship between product quality and price and extensively rely on this ‘ price reliance schema’ .

However, later scholars like Lichtenstein et al. , (1993) have alluded to the reliance of consumers on ‘ price-quality schema’ as a mechanism to make purchasing decisions.

Accordingly, Zhou et. al., (2002, p. 350) revealed different researches which have indicated that price-quality strategies have the capacity of significantly enhancing a firm’ s performance. This is a phenomenon which is apparent at ALDI as outlined in the preceding section. Additionally, the fact that ALDI has a short channel between the dealer to the company and lastly to the consumers ensures that the company has increased control over the quality of the products as well as enhanced efficiency in delivering the right products to the consumers and at the right time.   Expanding to aerospace companies The decision by a firm to expand has been revealed to pose imperative implications on labour, factors as well as the financial markets (Hu et.

al. , 2008, p. 81). In the case of ALDI, the expansion to aerospace companies has implications based on the fact these companies are bound to have increasingly technical products and service requirements different from the original products offered at ALDI (mostly grocery). Moreover, these companies are bound to have complex purchasing procedures which are different from those previously utilized at ALDI. In this case, ALDI will be obliged to select and recruit salespersons who are of high competence in dealing with these products from the aerospace companies.

Subsequently, this will necessitate seeking higher standards of recruitment which will require extensive collaboration from different individuals and departments, for instance, the sales managers. In this case, they will have to consider the attributes of the salespersons, their level of motivation and expertise among other factors. This will be key in influencing the outcomes of these salespersons which will have direct ramifications on the outcomes at the organizational level.

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