Minggu, 15 Mei 2011
BASIC CONCEPTS OF INCOME: MEASUREMENT AND RECOGNITION
BASIC CONCEPTS OF INCOME: MEASUREMENT AND RECOGNITION
The main objective of this concept is to identify various attributes of income from taxation standpoint. The term earnings is already known by the public, even by those who do not earn even. Two major problems concerning the determination of the amount of income, namely:
understanding or definition of income itself
measurement methods
The concept of economic
Economists define income as the amount (of goods and services) which in a certain time can be consumed by an entity, without leading to a reduction of capital. Economists use the capital maintenance approach (equity or capital maintenance approach) in determining the income of an entity in a period.
Income = (Capital End) - (Initial Capital), or
Income = (Consumption Value of Goods / Services) + / - (Change Capital)
With the approach of equity, the size of income within a period determined by comparing the total value or market price (fair market value) of capital or net assets at the end and beginning of the period involved (except from the deposit and withdrawal of capital). Income is measured based on the increase (or decrease) in net worth or capital owned by an entity plus the value (market price) of goods or services consumed in a period.
Thus, according to the economic concept of income is equal to the amount of value (market price) of goods or services that are actually consumed by an entity plus the increase and / or reduced decline in the value of goods or services that can or are willing to be consumed at a later date or in the period- next period.
Economic concept of income underscores the value of goods and / or services that can be consumed or consumption ability of an entity. Income is measured based on the ability of an entity to mengkonsumsikan goods and services, which often also referred to as purchasing power (purchasing power) or real income (real income). Three fundamental aspects in the economic concept of income:
Economic concept of income is a concept that is very wide-ranging.
Economic concept of income includes gains and losses, whether or not you have already realized (realized and unrealized gains and losses).
Economic concept of income required for consideration of the effect or influence the price level changes, declining purchasing power of money or inflation.
In measuring changes in value, economists use approaches or points of view on current call perspective, and therefore emphasizes the value now. Meanwhile, the value or historical price is considered less relevant. The main problem using the present value as the basis of measurement is that the present value is subjective, especially if no or no available market of goods or services that are needed to confirm these prices.
Changes (increase or decrease in value) of a product or service that is measured not based on actual transaction occurred is called profit or earnings that have not been realized (unrealized gains) or losses that are not actually happen (unrealized loss), and therefore worthy of questionable objectivity .
The emphasis of purchasing power, demand should also consider the effects of inflation (decline in the purchasing power of money) as one factor adjustments in income measurement. Increase the value of goods and services solely caused by changes in the purchasing power of money (in this case a decrease) can not be regarded as income, because the increase in value was not followed by increased ability to consume goods or services. Therefore, income in addition to the economic ability of an entity, should be measured based on the value of the rupiah konstan.Untuk, it is necessary to an index (the value of monetary units) at the time, called the base year price level or base period. The current value of the rupiah should be converted to a constant value of the rupiah price index, based on year basis. According to economic concepts, increase or decrease the value of goods or services as income or loss (in the sense of unrealized gains or losses) based on the calculation formula as follows:
Income (Increase Value of Shares) = (Value of Shares End of Year) - (Value of Shares Beginning of Year)
Losses (Impairment of Shares) = (Value of Stock at Beginning of Year) - (Value of Shares End of Year)
Accounting Concepts
The accountants' approach to the transaction (transaction approach) and the concept of exchange rates (exchange price) as the basis for income measurement. The main reason for the use of approach and thus the price is because the transaction actually happens and the exchange price is objective and verifiable truth. Approach transaction and exchange rates as the basis for income measurement is not without weaknesses or limitations. One disadvantage of using the concept of exchange rates is because the income is measured only by the number of absolute dollars, without considering that the possibility of changes in price levels or decline in purchasing power / inflation.
An income, including gains are considered not yet acquired or has not been realized up to the income and / or benefits may be associated with a particular transaction or event that could lead to the emergence of income and / or profits. That is, services must be provided or goods must be sold, transferred, exchanged, or converted into other goods or services in advance; before a number of income and / or gains deemed to have gained (earned), realized (realized), or can be realized ( realizable). Concepts related to the current recognition of income and / or similar benefits by the accountant or in accounting is often referred to as a concept or principle of realization of income.
In essence, income is equal to the total value of goods and services consumed in a period plus the increase in value of property or capital in the period concerned. However, in measuring the change in net worth or capital accounting concepts using the exchange price (historical cost or acquisition value and not the value or the current price or current value). Therefore, the exchange price (historical cost or acquisition value) does not change as a result of the passage of time, then no change in values that need to be recognized or recorded until the occurrence of a transaction at a later date. As a result, according to the accounting concept does not recognize unrealized gains as a component of income. But on the contrary, according to accounting concepts; losses are likely to occur and have to be determined amount in many cases to be recognized.
Experience relatively high inflation rates in some developed countries, has led some accountants to rethink the possibility diaplikasikannya accounting models to consider changing the price level (current cost accounting model, the general price level accounting models, replacement cost accounting model), which consequently should recognize unrealized gains as a component of income. But in general, the accountants remain adamant to not move from the accounting model based on historical prices (historical cost accounting model), which does not recognize unrealized gains as a component of income.
Broadly speaking, the difference between accounting concepts with economic concepts related to income can be recognized as follows. According to economic concepts, income includes all gains and losses; from any source, which in the measurement or determination of the amount should consider the effect of price level changes. Medium according to accounting concepts, income includes only realized gains and all losses (including those that have not actually happen but most likely will happen); that in the measurement or determination of the amount is not necessary to consider the effect of price level changes.
Realization Principle and Income Recognition
It is recognized that in general, the concept of income under the Income Tax Act is closer than the concept of economic accounting concepts.
The main objective of this concept is to identify various attributes of income from taxation standpoint. The term earnings is already known by the public, even by those who do not earn even. Two major problems concerning the determination of the amount of income, namely:
understanding or definition of income itself
measurement methods
The concept of economic
Economists define income as the amount (of goods and services) which in a certain time can be consumed by an entity, without leading to a reduction of capital. Economists use the capital maintenance approach (equity or capital maintenance approach) in determining the income of an entity in a period.
Income = (Capital End) - (Initial Capital), or
Income = (Consumption Value of Goods / Services) + / - (Change Capital)
With the approach of equity, the size of income within a period determined by comparing the total value or market price (fair market value) of capital or net assets at the end and beginning of the period involved (except from the deposit and withdrawal of capital). Income is measured based on the increase (or decrease) in net worth or capital owned by an entity plus the value (market price) of goods or services consumed in a period.
Thus, according to the economic concept of income is equal to the amount of value (market price) of goods or services that are actually consumed by an entity plus the increase and / or reduced decline in the value of goods or services that can or are willing to be consumed at a later date or in the period- next period.
Economic concept of income underscores the value of goods and / or services that can be consumed or consumption ability of an entity. Income is measured based on the ability of an entity to mengkonsumsikan goods and services, which often also referred to as purchasing power (purchasing power) or real income (real income). Three fundamental aspects in the economic concept of income:
Economic concept of income is a concept that is very wide-ranging.
Economic concept of income includes gains and losses, whether or not you have already realized (realized and unrealized gains and losses).
Economic concept of income required for consideration of the effect or influence the price level changes, declining purchasing power of money or inflation.
In measuring changes in value, economists use approaches or points of view on current call perspective, and therefore emphasizes the value now. Meanwhile, the value or historical price is considered less relevant. The main problem using the present value as the basis of measurement is that the present value is subjective, especially if no or no available market of goods or services that are needed to confirm these prices.
Changes (increase or decrease in value) of a product or service that is measured not based on actual transaction occurred is called profit or earnings that have not been realized (unrealized gains) or losses that are not actually happen (unrealized loss), and therefore worthy of questionable objectivity .
The emphasis of purchasing power, demand should also consider the effects of inflation (decline in the purchasing power of money) as one factor adjustments in income measurement. Increase the value of goods and services solely caused by changes in the purchasing power of money (in this case a decrease) can not be regarded as income, because the increase in value was not followed by increased ability to consume goods or services. Therefore, income in addition to the economic ability of an entity, should be measured based on the value of the rupiah konstan.Untuk, it is necessary to an index (the value of monetary units) at the time, called the base year price level or base period. The current value of the rupiah should be converted to a constant value of the rupiah price index, based on year basis. According to economic concepts, increase or decrease the value of goods or services as income or loss (in the sense of unrealized gains or losses) based on the calculation formula as follows:
Income (Increase Value of Shares) = (Value of Shares End of Year) - (Value of Shares Beginning of Year)
Losses (Impairment of Shares) = (Value of Stock at Beginning of Year) - (Value of Shares End of Year)
Accounting Concepts
The accountants' approach to the transaction (transaction approach) and the concept of exchange rates (exchange price) as the basis for income measurement. The main reason for the use of approach and thus the price is because the transaction actually happens and the exchange price is objective and verifiable truth. Approach transaction and exchange rates as the basis for income measurement is not without weaknesses or limitations. One disadvantage of using the concept of exchange rates is because the income is measured only by the number of absolute dollars, without considering that the possibility of changes in price levels or decline in purchasing power / inflation.
An income, including gains are considered not yet acquired or has not been realized up to the income and / or benefits may be associated with a particular transaction or event that could lead to the emergence of income and / or profits. That is, services must be provided or goods must be sold, transferred, exchanged, or converted into other goods or services in advance; before a number of income and / or gains deemed to have gained (earned), realized (realized), or can be realized ( realizable). Concepts related to the current recognition of income and / or similar benefits by the accountant or in accounting is often referred to as a concept or principle of realization of income.
In essence, income is equal to the total value of goods and services consumed in a period plus the increase in value of property or capital in the period concerned. However, in measuring the change in net worth or capital accounting concepts using the exchange price (historical cost or acquisition value and not the value or the current price or current value). Therefore, the exchange price (historical cost or acquisition value) does not change as a result of the passage of time, then no change in values that need to be recognized or recorded until the occurrence of a transaction at a later date. As a result, according to the accounting concept does not recognize unrealized gains as a component of income. But on the contrary, according to accounting concepts; losses are likely to occur and have to be determined amount in many cases to be recognized.
Experience relatively high inflation rates in some developed countries, has led some accountants to rethink the possibility diaplikasikannya accounting models to consider changing the price level (current cost accounting model, the general price level accounting models, replacement cost accounting model), which consequently should recognize unrealized gains as a component of income. But in general, the accountants remain adamant to not move from the accounting model based on historical prices (historical cost accounting model), which does not recognize unrealized gains as a component of income.
Broadly speaking, the difference between accounting concepts with economic concepts related to income can be recognized as follows. According to economic concepts, income includes all gains and losses; from any source, which in the measurement or determination of the amount should consider the effect of price level changes. Medium according to accounting concepts, income includes only realized gains and all losses (including those that have not actually happen but most likely will happen); that in the measurement or determination of the amount is not necessary to consider the effect of price level changes.
Realization Principle and Income Recognition
It is recognized that in general, the concept of income under the Income Tax Act is closer than the concept of economic accounting concepts.
UNDERSTANDING SUPPLY CHAIN MANAGEMENT
UNDERSTANDING SUPPLY CHAIN MANAGEMENT
The supply chain includes all parts including suppliers, manufacturers, distributors and customers, both directly and indirectly in meeting customer demand. The supply chain includes not only the manufacturers and suppliers but also transporters, warehouses, retailers, and even the customer itself.
In each organization such as manufacturing, supply chain includes all functions involved in receiving and filling customer demand. These functions include, but are not limited to, new product development, marketing, operations, distribution, finance, and customer service.
The supply chain is dynamic and involves a constant flow of information, products, and finance between the different levels. In fact, the main purpose of the various supply chain is to satisfy customer needs and in the process, generate profits for himself.
Supply chain lead to a picture on the movement of products or supplies from suppliers to manufacturers of products, distributors, retailers, customers throughout the chain.
Supply chain usually involves a variety of levels. The levels include:
Customer
Retailer
Distributor
Manufacturer products
Component or raw material suppliers.
Pictures of the levels of the supply chain:
Explanation:
Each level of the supply chain is connected through the flow of products, information, and financial. This flow usually occurs directly and may be regulated by one level or intermediaries. Each level do not want shown in the supply chain. The design of appropriate supply chain depending on customer needs and roles undertaken by each level are involved.
The objective of every supply chain should be to maximize overall value. The value of the supply chain is different between what the end result is valuable for customers and supply chain costs which occur in filling customer demand.
The design, planning and operations kaputusan important role in the success or failure of a company.
The stages in the supply chain decision making:
Supply chain strategy or design.
During this stage provide a marketing plan and pricing for the product, the company decides how to structure the supply chain in the next few years.
Supply chain planning.
Decisions made during this stage the time frame being considered is a quarter of the year. The composition of the supply chain has been determined that certain strategic phase. This arrangement determines the existing barriers. The success of planning to maximize supply chain surplus that can be generated by planning to provide obstacles that arise during the design phase or strategic.
Supply chain operations
Time spent here is a weekly or daily, and during this phase the company make decisions based on individual customer orders.
Reference:
Chopra, Sunil and Peter Meindl. 2007. Supply Chain Management: Strategy, Planning & Operations, 3rd Edition. Pearson Prentice Hall.
The supply chain includes all parts including suppliers, manufacturers, distributors and customers, both directly and indirectly in meeting customer demand. The supply chain includes not only the manufacturers and suppliers but also transporters, warehouses, retailers, and even the customer itself.
In each organization such as manufacturing, supply chain includes all functions involved in receiving and filling customer demand. These functions include, but are not limited to, new product development, marketing, operations, distribution, finance, and customer service.
The supply chain is dynamic and involves a constant flow of information, products, and finance between the different levels. In fact, the main purpose of the various supply chain is to satisfy customer needs and in the process, generate profits for himself.
Supply chain lead to a picture on the movement of products or supplies from suppliers to manufacturers of products, distributors, retailers, customers throughout the chain.
Supply chain usually involves a variety of levels. The levels include:
Customer
Retailer
Distributor
Manufacturer products
Component or raw material suppliers.
Pictures of the levels of the supply chain:
Explanation:
Each level of the supply chain is connected through the flow of products, information, and financial. This flow usually occurs directly and may be regulated by one level or intermediaries. Each level do not want shown in the supply chain. The design of appropriate supply chain depending on customer needs and roles undertaken by each level are involved.
The objective of every supply chain should be to maximize overall value. The value of the supply chain is different between what the end result is valuable for customers and supply chain costs which occur in filling customer demand.
The design, planning and operations kaputusan important role in the success or failure of a company.
The stages in the supply chain decision making:
Supply chain strategy or design.
During this stage provide a marketing plan and pricing for the product, the company decides how to structure the supply chain in the next few years.
Supply chain planning.
Decisions made during this stage the time frame being considered is a quarter of the year. The composition of the supply chain has been determined that certain strategic phase. This arrangement determines the existing barriers. The success of planning to maximize supply chain surplus that can be generated by planning to provide obstacles that arise during the design phase or strategic.
Supply chain operations
Time spent here is a weekly or daily, and during this phase the company make decisions based on individual customer orders.
Reference:
Chopra, Sunil and Peter Meindl. 2007. Supply Chain Management: Strategy, Planning & Operations, 3rd Edition. Pearson Prentice Hall.
NETWORK DESIGN IN ENVIRONMENTAL UNCERTAINTY
NETWORK DESIGN IN ENVIRONMENTAL UNCERTAINTY
In each company, supply chain includes all functions involved in the fulfillment of consumer demand (product development, marketing, operations, distribution, finance, customer service). Supply chain network of a company experiencing fluctuations in demand, prices, average rates, and competitive environment.
Uncertainty of demand and prices will affect the balance between short-term portfolio and long term. Therefore, the uncertainty in terms of demand, supply, price, finance, must be considered to make decisions in network design.
To evaluate the network design decisions (network design) under uncertainty, there are several methods, among others:
Discounted Cash Flow Analysis
Binomial Representation
Decision Tree (Decision Tree)
The impact of uncertainty on network design decisions
Supply chain design decisions include investment in the number and size of plant, number of trucks, the number of warehouses. This decision can not be quickly changed in a short time, so it requires flexibility in making the decision.
Discounted Cash Flow Analysis
Decision of the supply chain established for the long term, so it must be evaluated as a series of cash flows at a certain period. Discounted Cash Flow Analysis to evaluate the present value (present value) of each future cash flow, which allows managers to compare those cash flows.
Binomial Representation
Period 1: P + u, P-d
Period 2: P +2 u, P + u-d, P-2d
Period 3: P +3 u, P u-d +2, P + u-2d, P-3d
Period 4: P +4 u, P u-d +3, P +2 u-2d, P + u-3d, P-4d
P + tu-(T-t) d, for t = 0, 1, ..., T
Decision Tree
Decision Tree (Decision Tree) is a graphical tool used to evaluate decisions under uncertainty.
Evaluating the network design decisions using Decision Tree, namely:
Managers have to make many different decisions when designing a supply chain network
Many of them long term or short-term and less flexible or more flexible
If the uncertainties are ignored, the long-term options tend to be selected because it is generally cheaper.
The decision as it potentially harmful, because prices in the future is very likely differ from estimates or forecasts made by company.
Decision tree is used as an evaluation tool of decision making in uncertainty
Methodology decision tree analysis summarized as follows:
Identify the duration of each period (month, quarter, etc.) and the number of periods T over which the decision will be evaluated.
Identifying factors such as demand, prices and exchange rates, the fluctuation will be considered after periods T.
Identify representations of uncertainty for each factor, which determines what is used to model the distribution of uncertainty.
Identifying periodic discount rate k for each period.
Represent the decision tree with a country that is described in each period as well as the transition probability between the countries in the period that succeeded.
Starting from the period T, back to the period 0, to identify the optimal decisions and cash flow at each step. Each cash flow at each step within a given period must be discounted back when included in the previous period.
Making supply chain network design decisions in uncertainty, namely:
Combining strategic planning and planning for the manufacture of network design kkeuangan
Using several measurements (multiple metrics) for evaluating the supply chain network.
Using financial analysis as an input in decision making, not as a decision-making process itself.
Using the same estimation with sensitivity analysis.
Reference:
Chopra, Sunil and Peter Meindl. 2007. Supply Chain Management: Strategy, Planning & Operations, 3rd Edition. Pearson Prentice Hall.
In each company, supply chain includes all functions involved in the fulfillment of consumer demand (product development, marketing, operations, distribution, finance, customer service). Supply chain network of a company experiencing fluctuations in demand, prices, average rates, and competitive environment.
Uncertainty of demand and prices will affect the balance between short-term portfolio and long term. Therefore, the uncertainty in terms of demand, supply, price, finance, must be considered to make decisions in network design.
To evaluate the network design decisions (network design) under uncertainty, there are several methods, among others:
Discounted Cash Flow Analysis
Binomial Representation
Decision Tree (Decision Tree)
The impact of uncertainty on network design decisions
Supply chain design decisions include investment in the number and size of plant, number of trucks, the number of warehouses. This decision can not be quickly changed in a short time, so it requires flexibility in making the decision.
Discounted Cash Flow Analysis
Decision of the supply chain established for the long term, so it must be evaluated as a series of cash flows at a certain period. Discounted Cash Flow Analysis to evaluate the present value (present value) of each future cash flow, which allows managers to compare those cash flows.
Binomial Representation
Period 1: P + u, P-d
Period 2: P +2 u, P + u-d, P-2d
Period 3: P +3 u, P u-d +2, P + u-2d, P-3d
Period 4: P +4 u, P u-d +3, P +2 u-2d, P + u-3d, P-4d
P + tu-(T-t) d, for t = 0, 1, ..., T
Decision Tree
Decision Tree (Decision Tree) is a graphical tool used to evaluate decisions under uncertainty.
Evaluating the network design decisions using Decision Tree, namely:
Managers have to make many different decisions when designing a supply chain network
Many of them long term or short-term and less flexible or more flexible
If the uncertainties are ignored, the long-term options tend to be selected because it is generally cheaper.
The decision as it potentially harmful, because prices in the future is very likely differ from estimates or forecasts made by company.
Decision tree is used as an evaluation tool of decision making in uncertainty
Methodology decision tree analysis summarized as follows:
Identify the duration of each period (month, quarter, etc.) and the number of periods T over which the decision will be evaluated.
Identifying factors such as demand, prices and exchange rates, the fluctuation will be considered after periods T.
Identify representations of uncertainty for each factor, which determines what is used to model the distribution of uncertainty.
Identifying periodic discount rate k for each period.
Represent the decision tree with a country that is described in each period as well as the transition probability between the countries in the period that succeeded.
Starting from the period T, back to the period 0, to identify the optimal decisions and cash flow at each step. Each cash flow at each step within a given period must be discounted back when included in the previous period.
Making supply chain network design decisions in uncertainty, namely:
Combining strategic planning and planning for the manufacture of network design kkeuangan
Using several measurements (multiple metrics) for evaluating the supply chain network.
Using financial analysis as an input in decision making, not as a decision-making process itself.
Using the same estimation with sensitivity analysis.
Reference:
Chopra, Sunil and Peter Meindl. 2007. Supply Chain Management: Strategy, Planning & Operations, 3rd Edition. Pearson Prentice Hall.
NETWORK DESIGN IN ENVIRONMENTAL UNCERTAINTY
NETWORK DESIGN IN ENVIRONMENTAL UNCERTAINTY
In each company, supply chain includes all functions involved in the fulfillment of consumer demand (product development, marketing, operations, distribution, finance, customer service). Supply chain network of a company experiencing fluctuations in demand, prices, average rates, and competitive environment.
Uncertainty of demand and prices will affect the balance between short-term portfolio and long term. Therefore, the uncertainty in terms of demand, supply, price, finance, must be considered to make decisions in network design.
To evaluate the network design decisions (network design) under uncertainty, there are several methods, among others:
Discounted Cash Flow Analysis
Binomial Representation
Decision Tree (Decision Tree)
The impact of uncertainty on network design decisions
Supply chain design decisions include investment in the number and size of plant, number of trucks, the number of warehouses. This decision can not be quickly changed in a short time, so it requires flexibility in making the decision.
Discounted Cash Flow Analysis
Decision of the supply chain established for the long term, so it must be evaluated as a series of cash flows at a certain period. Discounted Cash Flow Analysis to evaluate the present value (present value) of each future cash flow, which allows managers to compare those cash flows.
Binomial Representation
Period 1: P + u, P-d
Period 2: P +2 u, P + u-d, P-2d
Period 3: P +3 u, P u-d +2, P + u-2d, P-3d
Period 4: P +4 u, P u-d +3, P +2 u-2d, P + u-3d, P-4d
P + tu-(T-t) d, for t = 0, 1, ..., T
Decision Tree
Decision Tree (Decision Tree) is a graphical tool used to evaluate decisions under uncertainty.
Evaluating the network design decisions using Decision Tree, namely:
Managers have to make many different decisions when designing a supply chain network
Many of them long term or short-term and less flexible or more flexible
If the uncertainties are ignored, the long-term options tend to be selected because it is generally cheaper.
The decision as it potentially harmful, because prices in the future is very likely differ from estimates or forecasts made by company.
Decision tree is used as an evaluation tool of decision making in uncertainty
Methodology decision tree analysis summarized as follows:
Identify the duration of each period (month, quarter, etc.) and the number of periods T over which the decision will be evaluated.
Identifying factors such as demand, prices and exchange rates, the fluctuation will be considered after periods T.
Identify representations of uncertainty for each factor, which determines what is used to model the distribution of uncertainty.
Identifying periodic discount rate k for each period.
Represent the decision tree with a country that is described in each period as well as the transition probability between the countries in the period that succeeded.
Starting from the period T, back to the period 0, to identify the optimal decisions and cash flow at each step. Each cash flow at each step within a given period must be discounted back when included in the previous period.
Making supply chain network design decisions in uncertainty, namely:
Combining strategic planning and planning for the manufacture of network design kkeuangan
Using several measurements (multiple metrics) for evaluating the supply chain network.
Using financial analysis as an input in decision making, not as a decision-making process itself.
Using the same estimation with sensitivity analysis.
Reference:
Chopra, Sunil and Peter Meindl. 2007. Supply Chain Management: Strategy, Planning & Operations, 3rd Edition. Pearson Prentice Hall.
In each company, supply chain includes all functions involved in the fulfillment of consumer demand (product development, marketing, operations, distribution, finance, customer service). Supply chain network of a company experiencing fluctuations in demand, prices, average rates, and competitive environment.
Uncertainty of demand and prices will affect the balance between short-term portfolio and long term. Therefore, the uncertainty in terms of demand, supply, price, finance, must be considered to make decisions in network design.
To evaluate the network design decisions (network design) under uncertainty, there are several methods, among others:
Discounted Cash Flow Analysis
Binomial Representation
Decision Tree (Decision Tree)
The impact of uncertainty on network design decisions
Supply chain design decisions include investment in the number and size of plant, number of trucks, the number of warehouses. This decision can not be quickly changed in a short time, so it requires flexibility in making the decision.
Discounted Cash Flow Analysis
Decision of the supply chain established for the long term, so it must be evaluated as a series of cash flows at a certain period. Discounted Cash Flow Analysis to evaluate the present value (present value) of each future cash flow, which allows managers to compare those cash flows.
Binomial Representation
Period 1: P + u, P-d
Period 2: P +2 u, P + u-d, P-2d
Period 3: P +3 u, P u-d +2, P + u-2d, P-3d
Period 4: P +4 u, P u-d +3, P +2 u-2d, P + u-3d, P-4d
P + tu-(T-t) d, for t = 0, 1, ..., T
Decision Tree
Decision Tree (Decision Tree) is a graphical tool used to evaluate decisions under uncertainty.
Evaluating the network design decisions using Decision Tree, namely:
Managers have to make many different decisions when designing a supply chain network
Many of them long term or short-term and less flexible or more flexible
If the uncertainties are ignored, the long-term options tend to be selected because it is generally cheaper.
The decision as it potentially harmful, because prices in the future is very likely differ from estimates or forecasts made by company.
Decision tree is used as an evaluation tool of decision making in uncertainty
Methodology decision tree analysis summarized as follows:
Identify the duration of each period (month, quarter, etc.) and the number of periods T over which the decision will be evaluated.
Identifying factors such as demand, prices and exchange rates, the fluctuation will be considered after periods T.
Identify representations of uncertainty for each factor, which determines what is used to model the distribution of uncertainty.
Identifying periodic discount rate k for each period.
Represent the decision tree with a country that is described in each period as well as the transition probability between the countries in the period that succeeded.
Starting from the period T, back to the period 0, to identify the optimal decisions and cash flow at each step. Each cash flow at each step within a given period must be discounted back when included in the previous period.
Making supply chain network design decisions in uncertainty, namely:
Combining strategic planning and planning for the manufacture of network design kkeuangan
Using several measurements (multiple metrics) for evaluating the supply chain network.
Using financial analysis as an input in decision making, not as a decision-making process itself.
Using the same estimation with sensitivity analysis.
Reference:
Chopra, Sunil and Peter Meindl. 2007. Supply Chain Management: Strategy, Planning & Operations, 3rd Edition. Pearson Prentice Hall.
NETWORK DESIGN IN ENVIRONMENTAL UNCERTAINTY
NETWORK DESIGN IN ENVIRONMENTAL UNCERTAINTY
In each company, supply chain includes all functions involved in the fulfillment of consumer demand (product development, marketing, operations, distribution, finance, customer service). Supply chain network of a company experiencing fluctuations in demand, prices, average rates, and competitive environment.
Uncertainty of demand and prices will affect the balance between short-term portfolio and long term. Therefore, the uncertainty in terms of demand, supply, price, finance, must be considered to make decisions in network design.
To evaluate the network design decisions (network design) under uncertainty, there are several methods, among others:
Discounted Cash Flow Analysis
Binomial Representation
Decision Tree (Decision Tree)
The impact of uncertainty on network design decisions
Supply chain design decisions include investment in the number and size of plant, number of trucks, the number of warehouses. This decision can not be quickly changed in a short time, so it requires flexibility in making the decision.
Discounted Cash Flow Analysis
Decision of the supply chain established for the long term, so it must be evaluated as a series of cash flows at a certain period. Discounted Cash Flow Analysis to evaluate the present value (present value) of each future cash flow, which allows managers to compare those cash flows.
Binomial Representation
Period 1: P + u, P-d
Period 2: P +2 u, P + u-d, P-2d
Period 3: P +3 u, P u-d +2, P + u-2d, P-3d
Period 4: P +4 u, P u-d +3, P +2 u-2d, P + u-3d, P-4d
P + tu-(T-t) d, for t = 0, 1, ..., T
Decision Tree
Decision Tree (Decision Tree) is a graphical tool used to evaluate decisions under uncertainty.
Evaluating the network design decisions using Decision Tree, namely:
Managers have to make many different decisions when designing a supply chain network
Many of them long term or short-term and less flexible or more flexible
If the uncertainties are ignored, the long-term options tend to be selected because it is generally cheaper.
The decision as it potentially harmful, because prices in the future is very likely differ from estimates or forecasts made by company.
Decision tree is used as an evaluation tool of decision making in uncertainty
Methodology decision tree analysis summarized as follows:
Identify the duration of each period (month, quarter, etc.) and the number of periods T over which the decision will be evaluated.
Identifying factors such as demand, prices and exchange rates, the fluctuation will be considered after periods T.
Identify representations of uncertainty for each factor, which determines what is used to model the distribution of uncertainty.
Identifying periodic discount rate k for each period.
Represent the decision tree with a country that is described in each period as well as the transition probability between the countries in the period that succeeded.
Starting from the period T, back to the period 0, to identify the optimal decisions and cash flow at each step. Each cash flow at each step within a given period must be discounted back when included in the previous period.
Making supply chain network design decisions in uncertainty, namely:
Combining strategic planning and planning for the manufacture of network design kkeuangan
Using several measurements (multiple metrics) for evaluating the supply chain network.
Using financial analysis as an input in decision making, not as a decision-making process itself.
Using the same estimation with sensitivity analysis.
Reference:
Chopra, Sunil and Peter Meindl. 2007. Supply Chain Management: Strategy, Planning & Operations, 3rd Edition. Pearson Prentice Hall.
In each company, supply chain includes all functions involved in the fulfillment of consumer demand (product development, marketing, operations, distribution, finance, customer service). Supply chain network of a company experiencing fluctuations in demand, prices, average rates, and competitive environment.
Uncertainty of demand and prices will affect the balance between short-term portfolio and long term. Therefore, the uncertainty in terms of demand, supply, price, finance, must be considered to make decisions in network design.
To evaluate the network design decisions (network design) under uncertainty, there are several methods, among others:
Discounted Cash Flow Analysis
Binomial Representation
Decision Tree (Decision Tree)
The impact of uncertainty on network design decisions
Supply chain design decisions include investment in the number and size of plant, number of trucks, the number of warehouses. This decision can not be quickly changed in a short time, so it requires flexibility in making the decision.
Discounted Cash Flow Analysis
Decision of the supply chain established for the long term, so it must be evaluated as a series of cash flows at a certain period. Discounted Cash Flow Analysis to evaluate the present value (present value) of each future cash flow, which allows managers to compare those cash flows.
Binomial Representation
Period 1: P + u, P-d
Period 2: P +2 u, P + u-d, P-2d
Period 3: P +3 u, P u-d +2, P + u-2d, P-3d
Period 4: P +4 u, P u-d +3, P +2 u-2d, P + u-3d, P-4d
P + tu-(T-t) d, for t = 0, 1, ..., T
Decision Tree
Decision Tree (Decision Tree) is a graphical tool used to evaluate decisions under uncertainty.
Evaluating the network design decisions using Decision Tree, namely:
Managers have to make many different decisions when designing a supply chain network
Many of them long term or short-term and less flexible or more flexible
If the uncertainties are ignored, the long-term options tend to be selected because it is generally cheaper.
The decision as it potentially harmful, because prices in the future is very likely differ from estimates or forecasts made by company.
Decision tree is used as an evaluation tool of decision making in uncertainty
Methodology decision tree analysis summarized as follows:
Identify the duration of each period (month, quarter, etc.) and the number of periods T over which the decision will be evaluated.
Identifying factors such as demand, prices and exchange rates, the fluctuation will be considered after periods T.
Identify representations of uncertainty for each factor, which determines what is used to model the distribution of uncertainty.
Identifying periodic discount rate k for each period.
Represent the decision tree with a country that is described in each period as well as the transition probability between the countries in the period that succeeded.
Starting from the period T, back to the period 0, to identify the optimal decisions and cash flow at each step. Each cash flow at each step within a given period must be discounted back when included in the previous period.
Making supply chain network design decisions in uncertainty, namely:
Combining strategic planning and planning for the manufacture of network design kkeuangan
Using several measurements (multiple metrics) for evaluating the supply chain network.
Using financial analysis as an input in decision making, not as a decision-making process itself.
Using the same estimation with sensitivity analysis.
Reference:
Chopra, Sunil and Peter Meindl. 2007. Supply Chain Management: Strategy, Planning & Operations, 3rd Edition. Pearson Prentice Hall.
ACHIEVING STRATEGIC FIT AND IN THE SUPPLY CHAIN scope
ACHIEVING STRATEGIC FIT AND IN THE SUPPLY CHAIN scope
Company's competitive strategy defined set of customer needs which sought to meet needs through product, depending on the competitors.
Company value chain starting from the development of new products, by creating a specification for the product. Marketing and sales generate demand through the publication of the priorities of customers with satisfactory products and services.
Marketing also bring customers back on new product development. With the new product specifications, operating turn inputs into outputs to create the product. Distribution also brings products to the customer or bring customers into the product. Services respond to customer demand during or after the sale. This is a core function or process that must be done to achieve successful sales. Finance, accounting, information technology, and human resources support and facilitate the parts supply chain.
To implement the company's competitive strategy, all this function plays its role of each and must develop its own strategy. Here, strategy is defined as each and every process and function of whether that will try to do well.
Product development strategy is defined by setting a new product portfolio that will be the company trying to develop. Marketing and sales strategy is defined by specifying how the market will be divided and how the product will be positioned, priced and promoted. Supply chain strategy defined by the nature of the procurement of raw materials, transport materials to and from the company, products or operations to improve services, and distribution of products to customers, and after-sales service will be handled alone or in-sourcing on the other side more competent.
Strategic fit means that the competitive and strategic value chain have the same goals. This means that there is consistency between the priorities of customers who are expected to be met by the competitive strategy and supply chain capabilities that can be built with the supply chain strategy.
Strategic fit is achieved with three stages, namely:
1. Understanding the customer and supply chain uncertainty.
First, companies must understand the needs of customers in each segment and uncertainties that are faced with supply chain needs. This need is the desire to help companies find the cost and demand for services. The uncertainty of the supply chain to help companies identify the level of disability prediction of demand, interference, and delays should be prepared by the supply chain.
2. Understanding the supply chain capabilities.
There are several types of supply chains, each designed for different tasks. Companies should understand to do what the supply chain.
3. Achieving strategic fit.
If there is no comparable competition between supply chains with customer needs, the company will also reorganize the supply chain to support the competitive strategy or change the competitive strategy.
The bottom line:
The first step in achieving the strategic fit between competitive and supply chain strategy is to understand the customer and supply chain uncertainty. The uncertainty of customer and supply chain can be combined and mapped onto the spectrum of uncertainty.
The second step in achieving the strategic fit between competitive and supply chain strategy is to understand the supply chain, and mapping them on the spectrum of reaction capabilities.
The final step in achieving strategic fit is the match between skills supply chain reaction with the uncertainty of demand and supply. The design of the supply chain and selurih functional strategy at the company should be able to support the level of supply chain responsiveness.
Scope of strategic fit is that there are functions in the company and the steps that are appropriate to find a relationship strategy with the goal. Interperusahaan Scope of strategic fit at this point is important because competition in the company with the company has turned into a competitive supply chain with the supply chain to another.
Coworkers companies in the supply chain will determine the success of the company. Interperusahaan Scope of strategic fit requires an evaluation of each action on a company's entire supply chain. This scope extends to all steps in the supply chain.
Reference:
Chopra, Sunil and Peter Meindl. 2007. Supply Chain Management: Strategy, Planning & Operations, 3rd Edition. Pearson Prentice Hall.
Company's competitive strategy defined set of customer needs which sought to meet needs through product, depending on the competitors.
Company value chain starting from the development of new products, by creating a specification for the product. Marketing and sales generate demand through the publication of the priorities of customers with satisfactory products and services.
Marketing also bring customers back on new product development. With the new product specifications, operating turn inputs into outputs to create the product. Distribution also brings products to the customer or bring customers into the product. Services respond to customer demand during or after the sale. This is a core function or process that must be done to achieve successful sales. Finance, accounting, information technology, and human resources support and facilitate the parts supply chain.
To implement the company's competitive strategy, all this function plays its role of each and must develop its own strategy. Here, strategy is defined as each and every process and function of whether that will try to do well.
Product development strategy is defined by setting a new product portfolio that will be the company trying to develop. Marketing and sales strategy is defined by specifying how the market will be divided and how the product will be positioned, priced and promoted. Supply chain strategy defined by the nature of the procurement of raw materials, transport materials to and from the company, products or operations to improve services, and distribution of products to customers, and after-sales service will be handled alone or in-sourcing on the other side more competent.
Strategic fit means that the competitive and strategic value chain have the same goals. This means that there is consistency between the priorities of customers who are expected to be met by the competitive strategy and supply chain capabilities that can be built with the supply chain strategy.
Strategic fit is achieved with three stages, namely:
1. Understanding the customer and supply chain uncertainty.
First, companies must understand the needs of customers in each segment and uncertainties that are faced with supply chain needs. This need is the desire to help companies find the cost and demand for services. The uncertainty of the supply chain to help companies identify the level of disability prediction of demand, interference, and delays should be prepared by the supply chain.
2. Understanding the supply chain capabilities.
There are several types of supply chains, each designed for different tasks. Companies should understand to do what the supply chain.
3. Achieving strategic fit.
If there is no comparable competition between supply chains with customer needs, the company will also reorganize the supply chain to support the competitive strategy or change the competitive strategy.
The bottom line:
The first step in achieving the strategic fit between competitive and supply chain strategy is to understand the customer and supply chain uncertainty. The uncertainty of customer and supply chain can be combined and mapped onto the spectrum of uncertainty.
The second step in achieving the strategic fit between competitive and supply chain strategy is to understand the supply chain, and mapping them on the spectrum of reaction capabilities.
The final step in achieving strategic fit is the match between skills supply chain reaction with the uncertainty of demand and supply. The design of the supply chain and selurih functional strategy at the company should be able to support the level of supply chain responsiveness.
Scope of strategic fit is that there are functions in the company and the steps that are appropriate to find a relationship strategy with the goal. Interperusahaan Scope of strategic fit at this point is important because competition in the company with the company has turned into a competitive supply chain with the supply chain to another.
Coworkers companies in the supply chain will determine the success of the company. Interperusahaan Scope of strategic fit requires an evaluation of each action on a company's entire supply chain. This scope extends to all steps in the supply chain.
Reference:
Chopra, Sunil and Peter Meindl. 2007. Supply Chain Management: Strategy, Planning & Operations, 3rd Edition. Pearson Prentice Hall.
DRIVERS AND Metrics IN SUPPLY CHAIN
DRIVERS AND Metrics IN SUPPLY CHAIN
In understanding how companies can improve supply chain performance and efficiency in the ability to respond, it must examine the trigger of the supply chain among other things:
1. Facilities (facilities)
This triggers an actual physical location in supply chain network in which the product is stored, processed, and manufactured. Two main types: the production and storage. The debate over the role, location, capacity and flexibility of facilities have a significant impact on supply chain performance.
2. Supply
Triggers include all raw materials, goods in process and finished goods in the supply chain. Changing the inventory policy, can change the company's efficiency and ability to react.
3. Transportation
The trigger is required to move supplies from one point to another in the supply chain. Transportation may include various combinations of ways and paths with their respective characteristics.
4. Information
Triggers consist of data and analysis on facilities, supplies, transportation, cost, price, and customers, in the supply chain. The information enabled the most in the supply chain performance because it has a direct impact on each trigger and also assist management in improving the opportunities so that more efficient supply chain.
5. Resources
Trigger is a choice of who / part of supply chain activities that will be used as production, storage, transportation or management information. In a strategic level, this decision to decide whether the company's performance or function if that is outsourced by the company. Decisions relating to these triggers, impact on the ability to respond and the efficiency of supply chain companies.
6. Pricing (pricing)
These triggers determine how much the company will issue a price for goods and services contained in the supply chain. Pricing affects the behavior of buyers of goods and services, thus can have an impact on supply chain performance.
From each of these supply chain triggers, triggers interact with other supply chain to determine the level of response capability and efficiency. As a result, the structure of these triggers to determine if and how the impact on supply chain performance.
Triggers Compilation Framework
To achieve success, companies must prepare well the logical combination of the three drivers and three cross-functional. For each trigger, supply chain managers must make trade-off between efficiency and ability to react, based on interaction with other triggers. This combination have an impact on the trigger then determines the ability to respond and benefit the entire supply chain.
Most firms, starting with competitive strategy and then decide whether the supply chain strategy that will be used. This supply chain strategy determines how the supply chain should make the company easier and more efficient action.
Facilities
Role in the supply chain, the facility is the location where the supply chain. With the facilities, inventories can be changed both in the manufacturing process and stored.
In a competitive strategy, the role of the facility is a key driver of supply chain performance and efficiency of response capabilities.
The decision in the facility will help the company's success strategy. Component decision should be analyzed in the form of facilities that role, location, capacity, and facilities associated with the metrics.
Supply
Inventories in the supply chain is a meeting between demand and supply. Role in the supply chain to increase the number of requests that can be filled with products that are ready and there when customers need it. Another significant role is in reducing costs by economies of scale that existed during the production and distribution.
Inventories can be either raw materials, goods in process and finished goods. Inventory is a source of major costs in the supply chain and has a big impact in responding kemempuan company. Meanwhile, the role of supply in competitive strategy is to support the company's competitive strategy.
Components of inventory decisions that need to be analyzed in the form of cycle inventory, safety stock, seasonal inventory, level of ability prosuksi, and supplies associated with metrics.
Transportation
Transportation to move products between different places in the supply chain. Just like other triggers, transport also have a huge impact and efficiency of the company's ability to respond. Transport more quickly cause supply chains to more quickly respond to but not more efficient. Type of transportation companies also can affect the supply and location of facilities in the supply chain.
Role in the company's competitive strategy is to describe the state of the company regarding the consideration of the needs of target customers. If companies want a competitive strategy of target customers with the level of demand that has a high response and customers also have the ability to pay is high then the firm should use transportation as a trigger for better supply chain to respond.
Components of transportation decisions that need to be analyzed in the form of transport network design, the choice of means of transport, and transport-related metrics.
Information
Information is affecting every part of the supply chain. Information provide or serve the relationship between the various parts in the supply chain, so as to coordinate and maximize total supply chain profitability. Information also is important in the operations on each part of supply chain.
The role of information in competitive strategy in a company used to make the company more responsive and more efficient. Rapid growth in importance of information technology was evidence of the impact of information that can develop the company.
Component decision should be analyzed in the form of information push vs. pull, coordination and information sharing, forecasting and comprehensive planning, technology that enables and information related to metrics.
Resources
Resource is a set of business processes required in the purchase of goods and services. Managers must first decide which tasks will be outsourced and that his will be done by the company itself.
Role in competitive strategy is very important that the level of efficiency and ability to respond will be accepted by the supply chain. In some examples of companies outsource to respond to 3 parts if too expensive under on the company in developing response capabilities.
Components of resource decisions that need to be analyzed in the form of in-house or outsourced, supplier selection, procurement, resource-related metrics.
Pricing (Pricing)
Pricing is the process whereby companies decide how much to charge fees to customers for goods and services produced by the company. Pricing impact on customer segments that prefer to buy products, as well as customer expectations. This is a direct impact on supply chain capabilities to respond to the same level as well as the nature of demand in the supply chain.
The role of pricing in competitive strategy of targeting customers. This results in the importance of companies to develop supply chains that can bring together two different requirements.
Components of pricing decisions that need to be analyzed in the form of pricing and economies of scale, Everyday low pricing vs. high-low pricing, fixed price versus menu pricing, and pricing related to metrics.
Barriers to achieving strategic fit
The key to achieving strategic fit is the company's ability to find a balance between the ability to respond and the efficiency that would bring together the needs of target customers. This decision should be allocated in the responsiveness spectrum where companies are faced with many obstacles.
These barriers can increase the difficulty the company in creating the ideal balance, but on the other hand these constraints can increase the chance the company to improve supply chain management.
The following barriers, which if could be addressed by managers, can increase a company's ability to obtain maximum profitability of the supply chain, namely:
Increasing product variety
Reduced product life cycles
Increasing customer demand
Solving supply chain ownership
Globalization
Difficulty implementing new strategies
Many obstacles, such as the emergence of variations and short product life cycles, can cause increasing difficulty in achieving supply chain strategy fit. The existence of barriers-hamabatan can create great opportunities for companies to use supply chain management in gaining competitive advantage.
Describing the main obstacle in the company to help manage supply chains successfully. The above constraints are factors that can hamper the performance of the supply chain.
Reference:
Chopra, Sunil and Peter Meindl. 2007. Supply Chain Management: Strategy, Planning & Operations, 3rd Edition. Pearson Prentice Hall.
In understanding how companies can improve supply chain performance and efficiency in the ability to respond, it must examine the trigger of the supply chain among other things:
1. Facilities (facilities)
This triggers an actual physical location in supply chain network in which the product is stored, processed, and manufactured. Two main types: the production and storage. The debate over the role, location, capacity and flexibility of facilities have a significant impact on supply chain performance.
2. Supply
Triggers include all raw materials, goods in process and finished goods in the supply chain. Changing the inventory policy, can change the company's efficiency and ability to react.
3. Transportation
The trigger is required to move supplies from one point to another in the supply chain. Transportation may include various combinations of ways and paths with their respective characteristics.
4. Information
Triggers consist of data and analysis on facilities, supplies, transportation, cost, price, and customers, in the supply chain. The information enabled the most in the supply chain performance because it has a direct impact on each trigger and also assist management in improving the opportunities so that more efficient supply chain.
5. Resources
Trigger is a choice of who / part of supply chain activities that will be used as production, storage, transportation or management information. In a strategic level, this decision to decide whether the company's performance or function if that is outsourced by the company. Decisions relating to these triggers, impact on the ability to respond and the efficiency of supply chain companies.
6. Pricing (pricing)
These triggers determine how much the company will issue a price for goods and services contained in the supply chain. Pricing affects the behavior of buyers of goods and services, thus can have an impact on supply chain performance.
From each of these supply chain triggers, triggers interact with other supply chain to determine the level of response capability and efficiency. As a result, the structure of these triggers to determine if and how the impact on supply chain performance.
Triggers Compilation Framework
To achieve success, companies must prepare well the logical combination of the three drivers and three cross-functional. For each trigger, supply chain managers must make trade-off between efficiency and ability to react, based on interaction with other triggers. This combination have an impact on the trigger then determines the ability to respond and benefit the entire supply chain.
Most firms, starting with competitive strategy and then decide whether the supply chain strategy that will be used. This supply chain strategy determines how the supply chain should make the company easier and more efficient action.
Facilities
Role in the supply chain, the facility is the location where the supply chain. With the facilities, inventories can be changed both in the manufacturing process and stored.
In a competitive strategy, the role of the facility is a key driver of supply chain performance and efficiency of response capabilities.
The decision in the facility will help the company's success strategy. Component decision should be analyzed in the form of facilities that role, location, capacity, and facilities associated with the metrics.
Supply
Inventories in the supply chain is a meeting between demand and supply. Role in the supply chain to increase the number of requests that can be filled with products that are ready and there when customers need it. Another significant role is in reducing costs by economies of scale that existed during the production and distribution.
Inventories can be either raw materials, goods in process and finished goods. Inventory is a source of major costs in the supply chain and has a big impact in responding kemempuan company. Meanwhile, the role of supply in competitive strategy is to support the company's competitive strategy.
Components of inventory decisions that need to be analyzed in the form of cycle inventory, safety stock, seasonal inventory, level of ability prosuksi, and supplies associated with metrics.
Transportation
Transportation to move products between different places in the supply chain. Just like other triggers, transport also have a huge impact and efficiency of the company's ability to respond. Transport more quickly cause supply chains to more quickly respond to but not more efficient. Type of transportation companies also can affect the supply and location of facilities in the supply chain.
Role in the company's competitive strategy is to describe the state of the company regarding the consideration of the needs of target customers. If companies want a competitive strategy of target customers with the level of demand that has a high response and customers also have the ability to pay is high then the firm should use transportation as a trigger for better supply chain to respond.
Components of transportation decisions that need to be analyzed in the form of transport network design, the choice of means of transport, and transport-related metrics.
Information
Information is affecting every part of the supply chain. Information provide or serve the relationship between the various parts in the supply chain, so as to coordinate and maximize total supply chain profitability. Information also is important in the operations on each part of supply chain.
The role of information in competitive strategy in a company used to make the company more responsive and more efficient. Rapid growth in importance of information technology was evidence of the impact of information that can develop the company.
Component decision should be analyzed in the form of information push vs. pull, coordination and information sharing, forecasting and comprehensive planning, technology that enables and information related to metrics.
Resources
Resource is a set of business processes required in the purchase of goods and services. Managers must first decide which tasks will be outsourced and that his will be done by the company itself.
Role in competitive strategy is very important that the level of efficiency and ability to respond will be accepted by the supply chain. In some examples of companies outsource to respond to 3 parts if too expensive under on the company in developing response capabilities.
Components of resource decisions that need to be analyzed in the form of in-house or outsourced, supplier selection, procurement, resource-related metrics.
Pricing (Pricing)
Pricing is the process whereby companies decide how much to charge fees to customers for goods and services produced by the company. Pricing impact on customer segments that prefer to buy products, as well as customer expectations. This is a direct impact on supply chain capabilities to respond to the same level as well as the nature of demand in the supply chain.
The role of pricing in competitive strategy of targeting customers. This results in the importance of companies to develop supply chains that can bring together two different requirements.
Components of pricing decisions that need to be analyzed in the form of pricing and economies of scale, Everyday low pricing vs. high-low pricing, fixed price versus menu pricing, and pricing related to metrics.
Barriers to achieving strategic fit
The key to achieving strategic fit is the company's ability to find a balance between the ability to respond and the efficiency that would bring together the needs of target customers. This decision should be allocated in the responsiveness spectrum where companies are faced with many obstacles.
These barriers can increase the difficulty the company in creating the ideal balance, but on the other hand these constraints can increase the chance the company to improve supply chain management.
The following barriers, which if could be addressed by managers, can increase a company's ability to obtain maximum profitability of the supply chain, namely:
Increasing product variety
Reduced product life cycles
Increasing customer demand
Solving supply chain ownership
Globalization
Difficulty implementing new strategies
Many obstacles, such as the emergence of variations and short product life cycles, can cause increasing difficulty in achieving supply chain strategy fit. The existence of barriers-hamabatan can create great opportunities for companies to use supply chain management in gaining competitive advantage.
Describing the main obstacle in the company to help manage supply chains successfully. The above constraints are factors that can hamper the performance of the supply chain.
Reference:
Chopra, Sunil and Peter Meindl. 2007. Supply Chain Management: Strategy, Planning & Operations, 3rd Edition. Pearson Prentice Hall.
CONSUMER PERCEPTIONS
CONSUMER PERCEPTIONS
Perception is defined as the process by individuals select, organize and interpret stimuli into a meaningful picture and make sense of the world. The perception has implications for marketers, because consumers make decisions based on what they feel, rather than on the basis of objective reality.
ELEMENTS OF PERCEPTION
SENSATION
Sensation is the immediate and direct response from the sensory organ of simple stimuli (advertising, packaging, brand). Each unit of input stimulus is received by the five senses. Consumer Sensitivity refers to the experience of sensation. Sensitivity to stimuli vary according to differences in sensory quality of the individual recipient and the amount or intensity of the stimuli they experienced.
ABSOLUTE threshold
The lowest level where one can experience the sensation is called the absolute threshold. The point at which one can know the difference between "something" and "no nothing" is an absolute threshold of the stimulus person. In the field of perception, the term adjustment specifically refers to "become accustomed" to the sensation and a certain level of stimulation.
Differential threshold (JUST NOTICEABLE DIFFERENCE)
The smallest difference (at least) that can be felt between the two kinds of stimuli similar called the differential threshold or just noticeable difference (the difference can still be seen) abbreviated JND Ernest Weber a 19th century German scientist found that JND between two stimuli is not an absolute amount but the relative amount of the first stimulus intensity. Weber's Law states that the larger the first stimulus, the greater the additional intensity needed so that the second stimulus can be felt the difference.
For example, increase $ 100 in the price of a car may not be considered, but the increase of $ 1 in premium prices (gasoline) will soon become the attention of consumers, because a significant percentage of gasoline prices before the price increase.
J.n.d Applications to Marketing
The producers and marketers are trying to determine JND relevant to their products because of two very different reasons, namely:
So many negative changes (eg, reduction in size or product quality, or increase the price of the product) can not be easily viewed by the public (still below the JND),
In order for product improvements (such as the updated packaging, the size of an enlarged, or a lower price) is very clear to the consumer without the waste that is not useful (located at the level or slightly above the JND).
Subliminal PERCEPTION
Most stimuli are perceived by consumers on their awareness level, but weak stimuli can be perceived below the level of consciousness, which can sense stimuli without consciously have to do it. Stimuli are too weak to be seen or heard consciously may be strong enough to be recognized by one or more recipient cell, this process is called subliminal perception. Perception of stimuli that are above the level of awareness is technically called a perception Supraliminal although usually for simplicity is called perception.
About Subliminal Perception Research
Research refute the notion that subliminal stimuli influence consumer buying decisions. A series of laboratory experiments are very imaginative and was held following the public hearing supported the idea that individuals can feel something beneath their level of consciousness, but did not find evidence that they can be persuaded to act in response to subliminal stimulation.
Evaluating the Effectiveness of Subliminal Persuasion
A review of the literature states that subliminal perception research based on two theoretical approaches, namely:
Repetition is very weak stimuli that constantly has the additional effect of allowing stimuli that build capacity in response to various representations.
Subliminal sexual stimuli lead to an unconscious sexual motivation
However, no study had shown that one theoretical approach has been used effectively by the advertisers to increase sales. In summary, although there is evidence that subliminal stimuli can influence affective reactions, but there is no evidence that subliminal stimulation can influence the motives or acts of consumption.
DYNAMICS OF PERCEPTION
Individuals are very selective about the stimuli which they "admitted", are unconsciously organize the stimuli that they actually admit according to psychological principles that are widely held and subjectively interpret these stimuli according to the needs, expectations, and experiences. Three aspects of perception is the selection, organization, and interpretation of stimuli.
SELECTION BASED ON PERCEPTION
The consumers are not aware of much use of the ability to choose which aspects of the environment (stimuli where) they feel. Which stimuli are selected depends on two main factors besides the nature of the stimulus itself, namely:
Consumer experiences before, because it affects their expectations (what they are prepared or "set" to be seen),
Their motive at that time (needs, desires, interests, and so on).
Each of these factors can help to increase or decrease the likelihood that a stimulus will be felt.
Various Important Concepts Regarding Selective Perception
Selection of consumers of environmental stimuli based on the interaction of expectations and their motives with the stimulus itself. The principle of selective perception which includes the following concepts: the opening of self-selective, selective attention, the defense against the perception, and perception barriers.
Grouping PERCEPTION
The consumers organize all their perceptions into a single whole. Specific principles that underlie the perception of grouping is often called Gestalt psychology. Three of the most basic principle is the figure and base, grouping, and settlement.
INTERPRETATION INTERPRETATION OF PERCEPTION
Interpretation of stimuli is very subjective and based on what consumers expected to be seen from previous experience, the number of plausible explanations that can be imagined, motives and interests at the time of emergence of perception, and clarity of the stimulus itself. The influence that tends to distort the interpretation of objective include:
Physical appearance,
Stereotypes,
Various clues (cues) that are not relevant,
The first impression, and
The tendency to take decisions too quickly.
VARIOUS CONSUMER IMAGE
As individuals feel self-image, they also feel the product image and brand image. Products and brands have symbolic value for the individual, who judged on the basis of consistency (compatibility) with a personal picture of yourself.
ARRANGEMENTS AND OUTSTANDING PRODUCT REVIEW ARRANGEMENTS
The image that belongs to certain products in consumers' minds that is setting its position, which may be more important to a successful end rather than the actual product characteristics. Products and services that felt good to have a much better opportunity to buy than the products and services that have unpleasant or neutral images. Regardless of how well a particular product positioning, marketers may be forced to rearrange the position of the product to respond to market events (such as competition reduces the market share brand), or meet the changing sukaan kelebih-consumer, and so forth.
OUTSTANDING SERVICE ARRANGEMENTS
Compared with manufacturing companies, service marketers face some unique problems in managing the position and promote the bid. Because services can not be seen, the image becomes a key factor in distinguishing factor services from its competitors. Thus, the marketing goal is to enable consumers to link a particular image with a special brand.
VIEWS ON PRICE OR PERCEPTION
How customers view a specific price (high, low, fair) have a strong influence on purchase intention and purchase satisfaction. Consumers rely on internal and external reference prices when assessing the reasonableness of price. Reference price is any price that consumers use as the basis for comparison in judging another price. Internal reference prices are the prices (price range) is obtained again by the consumer of memory.
Perceived quality or perceived
Consumers often judge the quality of a product or service based on a variety of information cues, some of which are intrinsic to the product (eg, color, size, taste, aroma), while others are extrinsic (eg, price, store image, brand image, the environmental services .) In the absence of direct experience or other information, parakonsumen often rely on price as an indicator of quality.
SERVQUAL Scale, designed to measure the price gap between customer expectations of service and consumer perceptions regarding services provided, which is based on the following five dimensions:
Real, the appearance of physical facilities, equipment, personnel, and communication tools.
Reliability, ability to carry out the promised service, reliable and accurate.
Comprehension, willingness to help customers and provide fast service.
Assurance, knowledge and courtesy of employees and their ability to generate trust and confidence.
Empathy, caring and individual attention given to the customer company.
RETAIL STORE IMAGE
Retail stores (retail stores) have the image of the store itself, which helped influence the perceived product quality, and consumer decisions about where to shop. A study of the image of retail stores based on comparative pricing strategies found that consumers tend to think of stores that offer a small discount on some goods as a whole store that offers prices lower than competitors' shops that give discounts greater in less product
MANUFACTURER'S IMAGE
Consumer image extends beyond the price and the perceived image of the store against the manufacturer of its own. Manufacturers who enjoys a good image usually feel that their new products more easily accepted than the manufacturer's products that have unfavorable image or a neutral image.
The perceived risk
Consumers often feel the risk in making product choices because of uncertainty about the consequences of their product decisions. The main risk types most often perceived by consumers when making decisions about the product include:
Functional risk is the risk that the product does not have the performance as expected.
Physical risk is the risk to themselves and others that can cause product.
Financial risk is the risk that the product will not be balanced with the price.
Social risk is the risk that a poor choice of products can cause embarrassment in social environments.
Psychological risk is the risk that a poor product choice can hurt the consumer's ego.
Risk Time is the risk that the time used to find the product will be in vain if the product does not work as expected.
Consumers are developing their own strategies to reduce the expected risk include:
Consumers looking for information,
Consumers loyal to the brand,
Consumers choose based on brand image,
Consumers rely on the image of store (retail merchant who has a good name),
Consumers buy the most expensive model,
Consumers give a guarantee.
Reference:
Schiffman, L.G., & Kanuk, L.L. 2007. Consumer Behavior, 9th ed. New Jersey, Pearson Prentice Hall.
Perception is defined as the process by individuals select, organize and interpret stimuli into a meaningful picture and make sense of the world. The perception has implications for marketers, because consumers make decisions based on what they feel, rather than on the basis of objective reality.
ELEMENTS OF PERCEPTION
SENSATION
Sensation is the immediate and direct response from the sensory organ of simple stimuli (advertising, packaging, brand). Each unit of input stimulus is received by the five senses. Consumer Sensitivity refers to the experience of sensation. Sensitivity to stimuli vary according to differences in sensory quality of the individual recipient and the amount or intensity of the stimuli they experienced.
ABSOLUTE threshold
The lowest level where one can experience the sensation is called the absolute threshold. The point at which one can know the difference between "something" and "no nothing" is an absolute threshold of the stimulus person. In the field of perception, the term adjustment specifically refers to "become accustomed" to the sensation and a certain level of stimulation.
Differential threshold (JUST NOTICEABLE DIFFERENCE)
The smallest difference (at least) that can be felt between the two kinds of stimuli similar called the differential threshold or just noticeable difference (the difference can still be seen) abbreviated JND Ernest Weber a 19th century German scientist found that JND between two stimuli is not an absolute amount but the relative amount of the first stimulus intensity. Weber's Law states that the larger the first stimulus, the greater the additional intensity needed so that the second stimulus can be felt the difference.
For example, increase $ 100 in the price of a car may not be considered, but the increase of $ 1 in premium prices (gasoline) will soon become the attention of consumers, because a significant percentage of gasoline prices before the price increase.
J.n.d Applications to Marketing
The producers and marketers are trying to determine JND relevant to their products because of two very different reasons, namely:
So many negative changes (eg, reduction in size or product quality, or increase the price of the product) can not be easily viewed by the public (still below the JND),
In order for product improvements (such as the updated packaging, the size of an enlarged, or a lower price) is very clear to the consumer without the waste that is not useful (located at the level or slightly above the JND).
Subliminal PERCEPTION
Most stimuli are perceived by consumers on their awareness level, but weak stimuli can be perceived below the level of consciousness, which can sense stimuli without consciously have to do it. Stimuli are too weak to be seen or heard consciously may be strong enough to be recognized by one or more recipient cell, this process is called subliminal perception. Perception of stimuli that are above the level of awareness is technically called a perception Supraliminal although usually for simplicity is called perception.
About Subliminal Perception Research
Research refute the notion that subliminal stimuli influence consumer buying decisions. A series of laboratory experiments are very imaginative and was held following the public hearing supported the idea that individuals can feel something beneath their level of consciousness, but did not find evidence that they can be persuaded to act in response to subliminal stimulation.
Evaluating the Effectiveness of Subliminal Persuasion
A review of the literature states that subliminal perception research based on two theoretical approaches, namely:
Repetition is very weak stimuli that constantly has the additional effect of allowing stimuli that build capacity in response to various representations.
Subliminal sexual stimuli lead to an unconscious sexual motivation
However, no study had shown that one theoretical approach has been used effectively by the advertisers to increase sales. In summary, although there is evidence that subliminal stimuli can influence affective reactions, but there is no evidence that subliminal stimulation can influence the motives or acts of consumption.
DYNAMICS OF PERCEPTION
Individuals are very selective about the stimuli which they "admitted", are unconsciously organize the stimuli that they actually admit according to psychological principles that are widely held and subjectively interpret these stimuli according to the needs, expectations, and experiences. Three aspects of perception is the selection, organization, and interpretation of stimuli.
SELECTION BASED ON PERCEPTION
The consumers are not aware of much use of the ability to choose which aspects of the environment (stimuli where) they feel. Which stimuli are selected depends on two main factors besides the nature of the stimulus itself, namely:
Consumer experiences before, because it affects their expectations (what they are prepared or "set" to be seen),
Their motive at that time (needs, desires, interests, and so on).
Each of these factors can help to increase or decrease the likelihood that a stimulus will be felt.
Various Important Concepts Regarding Selective Perception
Selection of consumers of environmental stimuli based on the interaction of expectations and their motives with the stimulus itself. The principle of selective perception which includes the following concepts: the opening of self-selective, selective attention, the defense against the perception, and perception barriers.
Grouping PERCEPTION
The consumers organize all their perceptions into a single whole. Specific principles that underlie the perception of grouping is often called Gestalt psychology. Three of the most basic principle is the figure and base, grouping, and settlement.
INTERPRETATION INTERPRETATION OF PERCEPTION
Interpretation of stimuli is very subjective and based on what consumers expected to be seen from previous experience, the number of plausible explanations that can be imagined, motives and interests at the time of emergence of perception, and clarity of the stimulus itself. The influence that tends to distort the interpretation of objective include:
Physical appearance,
Stereotypes,
Various clues (cues) that are not relevant,
The first impression, and
The tendency to take decisions too quickly.
VARIOUS CONSUMER IMAGE
As individuals feel self-image, they also feel the product image and brand image. Products and brands have symbolic value for the individual, who judged on the basis of consistency (compatibility) with a personal picture of yourself.
ARRANGEMENTS AND OUTSTANDING PRODUCT REVIEW ARRANGEMENTS
The image that belongs to certain products in consumers' minds that is setting its position, which may be more important to a successful end rather than the actual product characteristics. Products and services that felt good to have a much better opportunity to buy than the products and services that have unpleasant or neutral images. Regardless of how well a particular product positioning, marketers may be forced to rearrange the position of the product to respond to market events (such as competition reduces the market share brand), or meet the changing sukaan kelebih-consumer, and so forth.
OUTSTANDING SERVICE ARRANGEMENTS
Compared with manufacturing companies, service marketers face some unique problems in managing the position and promote the bid. Because services can not be seen, the image becomes a key factor in distinguishing factor services from its competitors. Thus, the marketing goal is to enable consumers to link a particular image with a special brand.
VIEWS ON PRICE OR PERCEPTION
How customers view a specific price (high, low, fair) have a strong influence on purchase intention and purchase satisfaction. Consumers rely on internal and external reference prices when assessing the reasonableness of price. Reference price is any price that consumers use as the basis for comparison in judging another price. Internal reference prices are the prices (price range) is obtained again by the consumer of memory.
Perceived quality or perceived
Consumers often judge the quality of a product or service based on a variety of information cues, some of which are intrinsic to the product (eg, color, size, taste, aroma), while others are extrinsic (eg, price, store image, brand image, the environmental services .) In the absence of direct experience or other information, parakonsumen often rely on price as an indicator of quality.
SERVQUAL Scale, designed to measure the price gap between customer expectations of service and consumer perceptions regarding services provided, which is based on the following five dimensions:
Real, the appearance of physical facilities, equipment, personnel, and communication tools.
Reliability, ability to carry out the promised service, reliable and accurate.
Comprehension, willingness to help customers and provide fast service.
Assurance, knowledge and courtesy of employees and their ability to generate trust and confidence.
Empathy, caring and individual attention given to the customer company.
RETAIL STORE IMAGE
Retail stores (retail stores) have the image of the store itself, which helped influence the perceived product quality, and consumer decisions about where to shop. A study of the image of retail stores based on comparative pricing strategies found that consumers tend to think of stores that offer a small discount on some goods as a whole store that offers prices lower than competitors' shops that give discounts greater in less product
MANUFACTURER'S IMAGE
Consumer image extends beyond the price and the perceived image of the store against the manufacturer of its own. Manufacturers who enjoys a good image usually feel that their new products more easily accepted than the manufacturer's products that have unfavorable image or a neutral image.
The perceived risk
Consumers often feel the risk in making product choices because of uncertainty about the consequences of their product decisions. The main risk types most often perceived by consumers when making decisions about the product include:
Functional risk is the risk that the product does not have the performance as expected.
Physical risk is the risk to themselves and others that can cause product.
Financial risk is the risk that the product will not be balanced with the price.
Social risk is the risk that a poor choice of products can cause embarrassment in social environments.
Psychological risk is the risk that a poor product choice can hurt the consumer's ego.
Risk Time is the risk that the time used to find the product will be in vain if the product does not work as expected.
Consumers are developing their own strategies to reduce the expected risk include:
Consumers looking for information,
Consumers loyal to the brand,
Consumers choose based on brand image,
Consumers rely on the image of store (retail merchant who has a good name),
Consumers buy the most expensive model,
Consumers give a guarantee.
Reference:
Schiffman, L.G., & Kanuk, L.L. 2007. Consumer Behavior, 9th ed. New Jersey, Pearson Prentice Hall.
FORMATION AND ALTERATION OF CONSUMER ATTITUDES
FORMATION AND ALTERATION OF CONSUMER ATTITUDES
Attitude is a learned tendency to behave in ways that remain favorable or unfavorable to a particular object (eg a category of products, services, advertisements, Web sites, or retail stores). Each element in this definition is very important to understand why and how the associated attitudes in consumer behavior and marketing.
"Object" Attitude
The word "object" of consumer-oriented attitude should be interpreted broadly covers concepts related to consumption and specific marketing, such as product, class of products, services, ownership, use of products, advertisements, website, price, medium, or retail merchants.
Attitude is the tendency of the Learned
Attitudes have motivating qualities, that can push consumers toward a particular behavior or attract customers from a particular behavior.
Having Attitude Consistency
Another characteristic of the attitude is that the relative attitude is consistent with the behavior they embody. However, despite having the consistency, attitude does not always have a permanent means to change attitudes.
Attitude Happen In Certain Situations
The situation is any event or circumstance which, at this stage and time, affect the relationship between attitudes and behavior. Certain situations may cause consumers to behave in ways that seem inconsistent with their attitude.
VARIOUS MODELS OF ATTITUDE STRUCTURE
Which is very important in understanding the role of attitudes in consumer behavior is an understanding of the structure and composition of attitude. There are four major categories of behavior models, namely:
A. The attitude of the Three Component Model
This attitude consists of three main components, namely:
Cognitive component, is the knowledge and perception which is acquired through a combination of direct experience with attitude objects and related information from various sources. This knowledge and perception thereof usually takes the form of belief, namely that the attitude object has various properties and certain behaviors will lead to particular outcomes.
Affective component, an emotion or feeling consumers about products or specific brands. Emotions and feelings are often regarded by consumer researchers is evaluative in nature, which includes the assessment of a person to the object of direct and comprehensive manner.
Conative component, dealing with the possibility or likelihood that an individual will perform a special act or behave a certain way towards a particular attitude object. According to some interpretations of conative components may include actual behavior itself, in marketing and consumer research component is often regarded as a statement of consumer intention to purchase.
B. Multi Attitude Model Properties
Briefly there are three models in the model of multi-nature attitude attitude, namely:
Attitude toward the object model, attitude is a function evaluation of product-specific beliefs and evaluations.
Shift in attitude toward the behavior, attitude to behave or act in respect of an object, rather than attitudes toward the object itself.
The theory of reasoned action model, a model of comprehensive and integrative manner.
C. Consuming Business Theory
An attitude theory designed to explain the various cases in which the action or outcome is uncertain, but instead reflects the efforts of consumers to consume is (or buy).
D. Attitudes towards the Ad Model
A model which states that a consumer forms various feelings (affects) and judgments (cognitions) as a result of exposure to an advertisement, in which otherwise affect consumer attitude toward the ad and attitude toward the brand.
ATTITUDE FORMATION
Attitude formation is divided into three areas, namely
What is the attitude to learn, various learning theories provide a unique view of how attitudes are formed.
The sources that influence attitude formation, attitude formation facilitated by direct personal experience and influenced by a variety of ideas and experiences of friends and influence family members and exposure to mass media.
Personality factors, individual personality plays an important role in the formation of character.
CHANGES IN ATTITUDE
The change was influenced by a variety of personal experiences and information obtained from various sources of individual and general. Own personality affects consumer acceptance and speed of change in attitude.
Attitude Change Strategies
Changing the basic motivational function
Associate the product with an admired group or event
Addressing two conflicting attitudes
Changing the components of the model multiatribut
Changing beliefs about competing brands
Four Basic Functions Attitude
Benefit function (utilitarian)
The function of ego defense (defensive ego)
Function statement value (value-expressive)
The function of knowledge
Elaboration Likelihood Model (ELM)
A theory which states that the level of one's involvement during message processing is a critical factor in determining the route of persuasion that can be effective.
BEHAVIOR CAN precede or follow FORMATION PROPERTIES
Cognitive Dissonance Theory
Stating that the inconvenience (discomfort) or dissonance occurs when a consumer faces conflicting thoughts about a belief or an attitude object.
Postpurchase Dissonance
Cognitive dissonance that occurs after a consumer makes a purchase commitment. Consumers cope with this dissonance through a variety of strategies designed to confirm the wisdom (wisdom) of their choice.
Attribution Theory
One theory about how people put the victim of events and establish or change their attitudes as an outcome of the assessment of their own behavior or anyone else.
Specific Nature of Ownership Theory (Attribution Theory)
This theory describes the formation and changing attitudes as a result of growth of people's thinking about the behavior (self-perception) and their own experiences.
Self-perception theory, a theory which states that consumers develop attitudes by reflecting on their own behavior.
Ownership of Other People Against Nature
Against Nature of Ownership of Goods
How We Test Our Properties Ownership
Defensive attribution
A theory which states that consumers are likely to receive praise for a satisfactory outcome (internal attribution) and will blame other people or products to a failure (external attribution).
Criteria for Causal Attribution
Distinctiveness
Konsistesi from time to time
Consistency Over Modality
Consensus
Reference:
Schiffman, L.G., & Kanuk, L.L. 2007. Consumer Behavior, 9th ed. New Jersey, Pearson Prentice Hall.
Attitude is a learned tendency to behave in ways that remain favorable or unfavorable to a particular object (eg a category of products, services, advertisements, Web sites, or retail stores). Each element in this definition is very important to understand why and how the associated attitudes in consumer behavior and marketing.
"Object" Attitude
The word "object" of consumer-oriented attitude should be interpreted broadly covers concepts related to consumption and specific marketing, such as product, class of products, services, ownership, use of products, advertisements, website, price, medium, or retail merchants.
Attitude is the tendency of the Learned
Attitudes have motivating qualities, that can push consumers toward a particular behavior or attract customers from a particular behavior.
Having Attitude Consistency
Another characteristic of the attitude is that the relative attitude is consistent with the behavior they embody. However, despite having the consistency, attitude does not always have a permanent means to change attitudes.
Attitude Happen In Certain Situations
The situation is any event or circumstance which, at this stage and time, affect the relationship between attitudes and behavior. Certain situations may cause consumers to behave in ways that seem inconsistent with their attitude.
VARIOUS MODELS OF ATTITUDE STRUCTURE
Which is very important in understanding the role of attitudes in consumer behavior is an understanding of the structure and composition of attitude. There are four major categories of behavior models, namely:
A. The attitude of the Three Component Model
This attitude consists of three main components, namely:
Cognitive component, is the knowledge and perception which is acquired through a combination of direct experience with attitude objects and related information from various sources. This knowledge and perception thereof usually takes the form of belief, namely that the attitude object has various properties and certain behaviors will lead to particular outcomes.
Affective component, an emotion or feeling consumers about products or specific brands. Emotions and feelings are often regarded by consumer researchers is evaluative in nature, which includes the assessment of a person to the object of direct and comprehensive manner.
Conative component, dealing with the possibility or likelihood that an individual will perform a special act or behave a certain way towards a particular attitude object. According to some interpretations of conative components may include actual behavior itself, in marketing and consumer research component is often regarded as a statement of consumer intention to purchase.
B. Multi Attitude Model Properties
Briefly there are three models in the model of multi-nature attitude attitude, namely:
Attitude toward the object model, attitude is a function evaluation of product-specific beliefs and evaluations.
Shift in attitude toward the behavior, attitude to behave or act in respect of an object, rather than attitudes toward the object itself.
The theory of reasoned action model, a model of comprehensive and integrative manner.
C. Consuming Business Theory
An attitude theory designed to explain the various cases in which the action or outcome is uncertain, but instead reflects the efforts of consumers to consume is (or buy).
D. Attitudes towards the Ad Model
A model which states that a consumer forms various feelings (affects) and judgments (cognitions) as a result of exposure to an advertisement, in which otherwise affect consumer attitude toward the ad and attitude toward the brand.
ATTITUDE FORMATION
Attitude formation is divided into three areas, namely
What is the attitude to learn, various learning theories provide a unique view of how attitudes are formed.
The sources that influence attitude formation, attitude formation facilitated by direct personal experience and influenced by a variety of ideas and experiences of friends and influence family members and exposure to mass media.
Personality factors, individual personality plays an important role in the formation of character.
CHANGES IN ATTITUDE
The change was influenced by a variety of personal experiences and information obtained from various sources of individual and general. Own personality affects consumer acceptance and speed of change in attitude.
Attitude Change Strategies
Changing the basic motivational function
Associate the product with an admired group or event
Addressing two conflicting attitudes
Changing the components of the model multiatribut
Changing beliefs about competing brands
Four Basic Functions Attitude
Benefit function (utilitarian)
The function of ego defense (defensive ego)
Function statement value (value-expressive)
The function of knowledge
Elaboration Likelihood Model (ELM)
A theory which states that the level of one's involvement during message processing is a critical factor in determining the route of persuasion that can be effective.
BEHAVIOR CAN precede or follow FORMATION PROPERTIES
Cognitive Dissonance Theory
Stating that the inconvenience (discomfort) or dissonance occurs when a consumer faces conflicting thoughts about a belief or an attitude object.
Postpurchase Dissonance
Cognitive dissonance that occurs after a consumer makes a purchase commitment. Consumers cope with this dissonance through a variety of strategies designed to confirm the wisdom (wisdom) of their choice.
Attribution Theory
One theory about how people put the victim of events and establish or change their attitudes as an outcome of the assessment of their own behavior or anyone else.
Specific Nature of Ownership Theory (Attribution Theory)
This theory describes the formation and changing attitudes as a result of growth of people's thinking about the behavior (self-perception) and their own experiences.
Self-perception theory, a theory which states that consumers develop attitudes by reflecting on their own behavior.
Ownership of Other People Against Nature
Against Nature of Ownership of Goods
How We Test Our Properties Ownership
Defensive attribution
A theory which states that consumers are likely to receive praise for a satisfactory outcome (internal attribution) and will blame other people or products to a failure (external attribution).
Criteria for Causal Attribution
Distinctiveness
Konsistesi from time to time
Consistency Over Modality
Consensus
Reference:
Schiffman, L.G., & Kanuk, L.L. 2007. Consumer Behavior, 9th ed. New Jersey, Pearson Prentice Hall.
COMMUNICATION AND CONSUMER BEHAVIOR
COMMUNICATION AND CONSUMER BEHAVIOR
Communication is a unique tool used by marketers to persuade consumers to act in the manner desired. Communication consists of several aspects of them, can take the form of verbal (both written and verbal), visual (illustrations, drawings, product demonstrations, mimic the face) or a combination thereof. Communication can also be a symbol (a high price, high quality packaging, logos impressive) and who wish to convey special meaning instilled by marketers.
COMPONENTS OF COMMUNICATION
There are five basic elements of communication, namely the sender, receiver, medium, message, and some form of feedback (feedback recipient).
Sender
Sender as the initiator of communication, can be a source of both formal and informal. Sources of formal communication may be the organization to gain profit (commercial) and nonprofit. Informal sources may be parents, or friends who provide information or advice about the product.
Recipient
Recipients of formal marketing communications tends to be a candidate or the targeted customers (ie members of the audience targeted by marketers). Audience and an unexpected intermediary also may receive communications of marketers. For example, audience intermediaries are wholesalers, distributors, and retailers, who receive a trade ad marketers that are intended to persuade them to want to order and hold inventory merchandise angry. Audience is not expected that everyone who is exposed to messages that are not specifically targeted by the sender.
Medium
Medium or perhaps impersonal communication channels (eg mass media) or interpersonal (formal talks between the salesperson and the customer or an informal conversation between two people or more that occur directly either by phone, mail or online).
Message
Messages can be verbal (oral or written), nonverbal (photos, illustrations, or symbols), or a combination of both. Verbal messages can usually include information on products or services that are more specific than nonverbal messages. Verbal message coupled with nonverbal messages often provide more information to the recipient than the one between the two.
Feedback
The feedback is an indispensable component in interpersonal communication and impersonal. Rapid feedback allows the sender's time to strengthen, change, or modify the message to ensure that can be understood in accordance with the intended.
COMMUNICATION PROCESS
Proponent Messages (Source)
Sponsor or initiator of the message must decide to whom the message should be sent and what should be conveyed, and then formulate a message in such a way that the meaning interpreted by the targeted audience exactly as intended. Impersonal communication sources usually are organizations that process and send the right message through a special department or spokesperson. Publicity is usually the result of the business community relationships and tend to be more trusted as a source or commercial purpose is not easily known.
Credibility
The credibility of the source affects the formulation of the message. The credibility of sources is an important element in the persuasive message often based on the expected purpose.
Credibility of Informal Sources
Informal sources or the sources of editorial deemed considered very objective and highly credible. Increased credibility provided by informal sources can not be fully guaranteed, although there is a perceived aura of objectivity.
Formal Source Credibility
Formal sources were deemed neutral to have more credibility than commercial sources because of the perception that they are more objective in assessing the product. Kredilitas commercial sources is more problematic and is usually based on a joint assessment or reputation, expertise, knowledge, retail channel, and a spokesman for the company.
Spokesman and Supporting Credibility
Consumers sometimes saw spokesman delivered the message that the product as a source or initiator of the message. Researchers have studied the relationship between consumer understanding about the message and persuasion, and have found that if the understanding is low, the receiver depends on the credibility of the spokesperson in shaping attitudes toward the product, but if the understanding and systematic information processing is high, much smaller source of expertise effects on attitudes receiver.
Kredilitas Messages
Previous experience gained consumers for specific products or retailers greatly affect the credibility of the message. Expectations for products that are met tend to increase the credibility of the message in the future, otherwise disappointing product that tends to reduce the credibility of the message the next time.
Effect of Source Credibility Against Time
Persuasive influence of the sources of highly credible do not always last long, though more influential than a low credible source. Research shows that both effects are positive or negative credibility tends to disappear after about 6 weeks. Symptoms such as these called sleeper effects (sleeper effect).
Audience (MESSAGE RECEIVER) targeted
The recipients of the message interprets the message they received based on experience and personal characteristics.
Definition
Level of accuracy obtained from a message meaning is a function of the characteristics of the message, the opportunity and ability of the receiver to process the message, and the motivation of the recipient. One's personal characteristics affect the accuracy in interpreting the message.
Mood (Mood)
Mood or feelings play an important influence on the way messages are received. The mood of consumers affect the way how an advertisement is received, remembered, and acted upon.
Communication Barriers
Various barriers to communication can affect the accuracy of interpretation of the message by the consumer. These barriers include:
Selective perception, consumers tend to ignore ads that do not contain any special interests or nothing to do with them.
Psychological disturbance, such as advertising messages that compete, can interfere with reception of a message.
FEEDBACK (RESPONSE MESSAGE RECIPIENT)
Sender of the message is important to obtain feedback as soon and as accurately as possible, because through the feedback sender can determine whether and how well the message is received.
Advertising Effectiveness Research
Advertisers often try to measure the effectiveness of the message by holding an audience research to find out what is being read, what television programs are watched and advertisements what is remembered. Research the effectiveness of advertising, called copy testing, can be done before the ad is really loaded (pretesting) or after sunrise (posttesting).
COMMUNICATION DESIGN persuasive
To create a persuasive communication, sponsor (individual or organization) first determine the purpose of communication, then choose the appropriate audience for the message and media to reach them and prepare (encode) the message in a way appropriate to each medium and each audience.
Communication Strategy
In preparing the communication strategy must first determine that the main purpose of communication. An important component of the communication strategy is to choose the right audience.
Media Strategy
The media strategy is an important element in the communication plan. This plan is required for the placement of advertisements in a variety of special media that is read, viewed, or heard by a variety of selected markets to target. Media selection depends on the product, audience, and purpose of advertising campaigns, media strategies can be done through:
World Wide Web (Internet)
A careful determination of target
Direct Marketing
Strategic Messaging
Messages are thoughts, ideas, attitudes, images, or other information to be conveyed to the audience expected sender.
Component in the strategy of the message include:
Rhetoric and Persuasion Advertising, the main focus of research rhetoric is finding the most effective way to express the message in certain situations. Submission of the most effective rhetoric against consumers who do not have the motivation. Ad Resonance is defined as a play on words combined with images that had something to do.
Involvement theory, that in situations of high involvement pembalian with people may be more actively devote cognitive effort to assess the things that is approved or not for a particular product. In situations of low involvement a person more likely to focus on message cues that are not principal.
Presentation of messages, among the various decisions to be taken by marketers in designing the message is the decision of whether to use the structure of positive-negative messages, the message is one-sided or two-sided, ads comparison, the influence of sequence, or repetition. The way the message is presented affects its impact. For example, one-sided message is more effective in some situations and the audience, two-sided message is more effective in other situations. Products with high involvement (a product which is strongly associated with the consumer segment) is best advertised by the principal through persuasion, which encourages active cognitive effort. Products with low involvement is best promoted through a variety of cues are not the principal, such as background scenery, music, or a celebrity spokesperson.
Ad Attraction
Emotional appeal that is often used in advertising includes fear, humor, and sexual attraction. If the sexual theme associated with the product, then this could be a very effective and if used only as a main focal point, the memory of the brand rarely achieved. Audience participation is a very effective communication strategy for encouraging the internalization of advertising messages. Further research is needed to identify the various variables product, audience and situation that mediates the influence of the order and presentation of messages in persuading consumers to buy.
Reference:
Schiffman, L.G., & Kanuk, L.L. 2007. Consumer Behavior, 9th ed. New Jersey, Pearson Prentice Hall.
Communication is a unique tool used by marketers to persuade consumers to act in the manner desired. Communication consists of several aspects of them, can take the form of verbal (both written and verbal), visual (illustrations, drawings, product demonstrations, mimic the face) or a combination thereof. Communication can also be a symbol (a high price, high quality packaging, logos impressive) and who wish to convey special meaning instilled by marketers.
COMPONENTS OF COMMUNICATION
There are five basic elements of communication, namely the sender, receiver, medium, message, and some form of feedback (feedback recipient).
Sender
Sender as the initiator of communication, can be a source of both formal and informal. Sources of formal communication may be the organization to gain profit (commercial) and nonprofit. Informal sources may be parents, or friends who provide information or advice about the product.
Recipient
Recipients of formal marketing communications tends to be a candidate or the targeted customers (ie members of the audience targeted by marketers). Audience and an unexpected intermediary also may receive communications of marketers. For example, audience intermediaries are wholesalers, distributors, and retailers, who receive a trade ad marketers that are intended to persuade them to want to order and hold inventory merchandise angry. Audience is not expected that everyone who is exposed to messages that are not specifically targeted by the sender.
Medium
Medium or perhaps impersonal communication channels (eg mass media) or interpersonal (formal talks between the salesperson and the customer or an informal conversation between two people or more that occur directly either by phone, mail or online).
Message
Messages can be verbal (oral or written), nonverbal (photos, illustrations, or symbols), or a combination of both. Verbal messages can usually include information on products or services that are more specific than nonverbal messages. Verbal message coupled with nonverbal messages often provide more information to the recipient than the one between the two.
Feedback
The feedback is an indispensable component in interpersonal communication and impersonal. Rapid feedback allows the sender's time to strengthen, change, or modify the message to ensure that can be understood in accordance with the intended.
COMMUNICATION PROCESS
Proponent Messages (Source)
Sponsor or initiator of the message must decide to whom the message should be sent and what should be conveyed, and then formulate a message in such a way that the meaning interpreted by the targeted audience exactly as intended. Impersonal communication sources usually are organizations that process and send the right message through a special department or spokesperson. Publicity is usually the result of the business community relationships and tend to be more trusted as a source or commercial purpose is not easily known.
Credibility
The credibility of the source affects the formulation of the message. The credibility of sources is an important element in the persuasive message often based on the expected purpose.
Credibility of Informal Sources
Informal sources or the sources of editorial deemed considered very objective and highly credible. Increased credibility provided by informal sources can not be fully guaranteed, although there is a perceived aura of objectivity.
Formal Source Credibility
Formal sources were deemed neutral to have more credibility than commercial sources because of the perception that they are more objective in assessing the product. Kredilitas commercial sources is more problematic and is usually based on a joint assessment or reputation, expertise, knowledge, retail channel, and a spokesman for the company.
Spokesman and Supporting Credibility
Consumers sometimes saw spokesman delivered the message that the product as a source or initiator of the message. Researchers have studied the relationship between consumer understanding about the message and persuasion, and have found that if the understanding is low, the receiver depends on the credibility of the spokesperson in shaping attitudes toward the product, but if the understanding and systematic information processing is high, much smaller source of expertise effects on attitudes receiver.
Kredilitas Messages
Previous experience gained consumers for specific products or retailers greatly affect the credibility of the message. Expectations for products that are met tend to increase the credibility of the message in the future, otherwise disappointing product that tends to reduce the credibility of the message the next time.
Effect of Source Credibility Against Time
Persuasive influence of the sources of highly credible do not always last long, though more influential than a low credible source. Research shows that both effects are positive or negative credibility tends to disappear after about 6 weeks. Symptoms such as these called sleeper effects (sleeper effect).
Audience (MESSAGE RECEIVER) targeted
The recipients of the message interprets the message they received based on experience and personal characteristics.
Definition
Level of accuracy obtained from a message meaning is a function of the characteristics of the message, the opportunity and ability of the receiver to process the message, and the motivation of the recipient. One's personal characteristics affect the accuracy in interpreting the message.
Mood (Mood)
Mood or feelings play an important influence on the way messages are received. The mood of consumers affect the way how an advertisement is received, remembered, and acted upon.
Communication Barriers
Various barriers to communication can affect the accuracy of interpretation of the message by the consumer. These barriers include:
Selective perception, consumers tend to ignore ads that do not contain any special interests or nothing to do with them.
Psychological disturbance, such as advertising messages that compete, can interfere with reception of a message.
FEEDBACK (RESPONSE MESSAGE RECIPIENT)
Sender of the message is important to obtain feedback as soon and as accurately as possible, because through the feedback sender can determine whether and how well the message is received.
Advertising Effectiveness Research
Advertisers often try to measure the effectiveness of the message by holding an audience research to find out what is being read, what television programs are watched and advertisements what is remembered. Research the effectiveness of advertising, called copy testing, can be done before the ad is really loaded (pretesting) or after sunrise (posttesting).
COMMUNICATION DESIGN persuasive
To create a persuasive communication, sponsor (individual or organization) first determine the purpose of communication, then choose the appropriate audience for the message and media to reach them and prepare (encode) the message in a way appropriate to each medium and each audience.
Communication Strategy
In preparing the communication strategy must first determine that the main purpose of communication. An important component of the communication strategy is to choose the right audience.
Media Strategy
The media strategy is an important element in the communication plan. This plan is required for the placement of advertisements in a variety of special media that is read, viewed, or heard by a variety of selected markets to target. Media selection depends on the product, audience, and purpose of advertising campaigns, media strategies can be done through:
World Wide Web (Internet)
A careful determination of target
Direct Marketing
Strategic Messaging
Messages are thoughts, ideas, attitudes, images, or other information to be conveyed to the audience expected sender.
Component in the strategy of the message include:
Rhetoric and Persuasion Advertising, the main focus of research rhetoric is finding the most effective way to express the message in certain situations. Submission of the most effective rhetoric against consumers who do not have the motivation. Ad Resonance is defined as a play on words combined with images that had something to do.
Involvement theory, that in situations of high involvement pembalian with people may be more actively devote cognitive effort to assess the things that is approved or not for a particular product. In situations of low involvement a person more likely to focus on message cues that are not principal.
Presentation of messages, among the various decisions to be taken by marketers in designing the message is the decision of whether to use the structure of positive-negative messages, the message is one-sided or two-sided, ads comparison, the influence of sequence, or repetition. The way the message is presented affects its impact. For example, one-sided message is more effective in some situations and the audience, two-sided message is more effective in other situations. Products with high involvement (a product which is strongly associated with the consumer segment) is best advertised by the principal through persuasion, which encourages active cognitive effort. Products with low involvement is best promoted through a variety of cues are not the principal, such as background scenery, music, or a celebrity spokesperson.
Ad Attraction
Emotional appeal that is often used in advertising includes fear, humor, and sexual attraction. If the sexual theme associated with the product, then this could be a very effective and if used only as a main focal point, the memory of the brand rarely achieved. Audience participation is a very effective communication strategy for encouraging the internalization of advertising messages. Further research is needed to identify the various variables product, audience and situation that mediates the influence of the order and presentation of messages in persuading consumers to buy.
Reference:
Schiffman, L.G., & Kanuk, L.L. 2007. Consumer Behavior, 9th ed. New Jersey, Pearson Prentice Hall.
COMMUNICATION AND CONSUMER BEHAVIOR
COMMUNICATION AND CONSUMER BEHAVIOR
Communication is a unique tool used by marketers to persuade consumers to act in the manner desired. Communication consists of several aspects of them, can take the form of verbal (both written and verbal), visual (illustrations, drawings, product demonstrations, mimic the face) or a combination thereof. Communication can also be a symbol (a high price, high quality packaging, logos impressive) and who wish to convey special meaning instilled by marketers.
COMPONENTS OF COMMUNICATION
There are five basic elements of communication, namely the sender, receiver, medium, message, and some form of feedback (feedback recipient).
Sender
Sender as the initiator of communication, can be a source of both formal and informal. Sources of formal communication may be the organization to gain profit (commercial) and nonprofit. Informal sources may be parents, or friends who provide information or advice about the product.
Recipient
Recipients of formal marketing communications tends to be a candidate or the targeted customers (ie members of the audience targeted by marketers). Audience and an unexpected intermediary also may receive communications of marketers. For example, audience intermediaries are wholesalers, distributors, and retailers, who receive a trade ad marketers that are intended to persuade them to want to order and hold inventory merchandise angry. Audience is not expected that everyone who is exposed to messages that are not specifically targeted by the sender.
Medium
Medium or perhaps impersonal communication channels (eg mass media) or interpersonal (formal talks between the salesperson and the customer or an informal conversation between two people or more that occur directly either by phone, mail or online).
Message
Messages can be verbal (oral or written), nonverbal (photos, illustrations, or symbols), or a combination of both. Verbal messages can usually include information on products or services that are more specific than nonverbal messages. Verbal message coupled with nonverbal messages often provide more information to the recipient than the one between the two.
Feedback
The feedback is an indispensable component in interpersonal communication and impersonal. Rapid feedback allows the sender's time to strengthen, change, or modify the message to ensure that can be understood in accordance with the intended.
COMMUNICATION PROCESS
Proponent Messages (Source)
Sponsor or initiator of the message must decide to whom the message should be sent and what should be conveyed, and then formulate a message in such a way that the meaning interpreted by the targeted audience exactly as intended. Impersonal communication sources usually are organizations that process and send the right message through a special department or spokesperson. Publicity is usually the result of the business community relationships and tend to be more trusted as a source or commercial purpose is not easily known.
Credibility
The credibility of the source affects the formulation of the message. The credibility of sources is an important element in the persuasive message often based on the expected purpose.
Credibility of Informal Sources
Informal sources or the sources of editorial deemed considered very objective and highly credible. Increased credibility provided by informal sources can not be fully guaranteed, although there is a perceived aura of objectivity.
Formal Source Credibility
Formal sources were deemed neutral to have more credibility than commercial sources because of the perception that they are more objective in assessing the product. Kredilitas commercial sources is more problematic and is usually based on a joint assessment or reputation, expertise, knowledge, retail channel, and a spokesman for the company.
Spokesman and Supporting Credibility
Consumers sometimes saw spokesman delivered the message that the product as a source or initiator of the message. Researchers have studied the relationship between consumer understanding about the message and persuasion, and have found that if the understanding is low, the receiver depends on the credibility of the spokesperson in shaping attitudes toward the product, but if the understanding and systematic information processing is high, much smaller source of expertise effects on attitudes receiver.
Kredilitas Messages
Previous experience gained consumers for specific products or retailers greatly affect the credibility of the message. Expectations for products that are met tend to increase the credibility of the message in the future, otherwise disappointing product that tends to reduce the credibility of the message the next time.
Effect of Source Credibility Against Time
Persuasive influence of the sources of highly credible do not always last long, though more influential than a low credible source. Research shows that both effects are positive or negative credibility tends to disappear after about 6 weeks. Symptoms such as these called sleeper effects (sleeper effect).
Audience (MESSAGE RECEIVER) targeted
The recipients of the message interprets the message they received based on experience and personal characteristics.
Definition
Level of accuracy obtained from a message meaning is a function of the characteristics of the message, the opportunity and ability of the receiver to process the message, and the motivation of the recipient. One's personal characteristics affect the accuracy in interpreting the message.
Mood (Mood)
Mood or feelings play an important influence on the way messages are received. The mood of consumers affect the way how an advertisement is received, remembered, and acted upon.
Communication Barriers
Various barriers to communication can affect the accuracy of interpretation of the message by the consumer. These barriers include:
Selective perception, consumers tend to ignore ads that do not contain any special interests or nothing to do with them.
Psychological disturbance, such as advertising messages that compete, can interfere with reception of a message.
FEEDBACK (RESPONSE MESSAGE RECIPIENT)
Sender of the message is important to obtain feedback as soon and as accurately as possible, because through the feedback sender can determine whether and how well the message is received.
Advertising Effectiveness Research
Advertisers often try to measure the effectiveness of the message by holding an audience research to find out what is being read, what television programs are watched and advertisements what is remembered. Research the effectiveness of advertising, called copy testing, can be done before the ad is really loaded (pretesting) or after sunrise (posttesting).
COMMUNICATION DESIGN persuasive
To create a persuasive communication, sponsor (individual or organization) first determine the purpose of communication, then choose the appropriate audience for the message and media to reach them and prepare (encode) the message in a way appropriate to each medium and each audience.
Communication Strategy
In preparing the communication strategy must first determine that the main purpose of communication. An important component of the communication strategy is to choose the right audience.
Media Strategy
The media strategy is an important element in the communication plan. This plan is required for the placement of advertisements in a variety of special media that is read, viewed, or heard by a variety of selected markets to target. Media selection depends on the product, audience, and purpose of advertising campaigns, media strategies can be done through:
World Wide Web (Internet)
A careful determination of target
Direct Marketing
Strategic Messaging
Messages are thoughts, ideas, attitudes, images, or other information to be conveyed to the audience expected sender.
Component in the strategy of the message include:
Rhetoric and Persuasion Advertising, the main focus of research rhetoric is finding the most effective way to express the message in certain situations. Submission of the most effective rhetoric against consumers who do not have the motivation. Ad Resonance is defined as a play on words combined with images that had something to do.
Involvement theory, that in situations of high involvement pembalian with people may be more actively devote cognitive effort to assess the things that is approved or not for a particular product. In situations of low involvement a person more likely to focus on message cues that are not principal.
Presentation of messages, among the various decisions to be taken by marketers in designing the message is the decision of whether to use the structure of positive-negative messages, the message is one-sided or two-sided, ads comparison, the influence of sequence, or repetition. The way the message is presented affects its impact. For example, one-sided message is more effective in some situations and the audience, two-sided message is more effective in other situations. Products with high involvement (a product which is strongly associated with the consumer segment) is best advertised by the principal through persuasion, which encourages active cognitive effort. Products with low involvement is best promoted through a variety of cues are not the principal, such as background scenery, music, or a celebrity spokesperson.
Ad Attraction
Emotional appeal that is often used in advertising includes fear, humor, and sexual attraction. If the sexual theme associated with the product, then this could be a very effective and if used only as a main focal point, the memory of the brand rarely achieved. Audience participation is a very effective communication strategy for encouraging the internalization of advertising messages. Further research is needed to identify the various variables product, audience and situation that mediates the influence of the order and presentation of messages in persuading consumers to buy.
Reference:
Schiffman, L.G., & Kanuk, L.L. 2007. Consumer Behavior, 9th ed. New Jersey, Pearson Prentice Hall.
Communication is a unique tool used by marketers to persuade consumers to act in the manner desired. Communication consists of several aspects of them, can take the form of verbal (both written and verbal), visual (illustrations, drawings, product demonstrations, mimic the face) or a combination thereof. Communication can also be a symbol (a high price, high quality packaging, logos impressive) and who wish to convey special meaning instilled by marketers.
COMPONENTS OF COMMUNICATION
There are five basic elements of communication, namely the sender, receiver, medium, message, and some form of feedback (feedback recipient).
Sender
Sender as the initiator of communication, can be a source of both formal and informal. Sources of formal communication may be the organization to gain profit (commercial) and nonprofit. Informal sources may be parents, or friends who provide information or advice about the product.
Recipient
Recipients of formal marketing communications tends to be a candidate or the targeted customers (ie members of the audience targeted by marketers). Audience and an unexpected intermediary also may receive communications of marketers. For example, audience intermediaries are wholesalers, distributors, and retailers, who receive a trade ad marketers that are intended to persuade them to want to order and hold inventory merchandise angry. Audience is not expected that everyone who is exposed to messages that are not specifically targeted by the sender.
Medium
Medium or perhaps impersonal communication channels (eg mass media) or interpersonal (formal talks between the salesperson and the customer or an informal conversation between two people or more that occur directly either by phone, mail or online).
Message
Messages can be verbal (oral or written), nonverbal (photos, illustrations, or symbols), or a combination of both. Verbal messages can usually include information on products or services that are more specific than nonverbal messages. Verbal message coupled with nonverbal messages often provide more information to the recipient than the one between the two.
Feedback
The feedback is an indispensable component in interpersonal communication and impersonal. Rapid feedback allows the sender's time to strengthen, change, or modify the message to ensure that can be understood in accordance with the intended.
COMMUNICATION PROCESS
Proponent Messages (Source)
Sponsor or initiator of the message must decide to whom the message should be sent and what should be conveyed, and then formulate a message in such a way that the meaning interpreted by the targeted audience exactly as intended. Impersonal communication sources usually are organizations that process and send the right message through a special department or spokesperson. Publicity is usually the result of the business community relationships and tend to be more trusted as a source or commercial purpose is not easily known.
Credibility
The credibility of the source affects the formulation of the message. The credibility of sources is an important element in the persuasive message often based on the expected purpose.
Credibility of Informal Sources
Informal sources or the sources of editorial deemed considered very objective and highly credible. Increased credibility provided by informal sources can not be fully guaranteed, although there is a perceived aura of objectivity.
Formal Source Credibility
Formal sources were deemed neutral to have more credibility than commercial sources because of the perception that they are more objective in assessing the product. Kredilitas commercial sources is more problematic and is usually based on a joint assessment or reputation, expertise, knowledge, retail channel, and a spokesman for the company.
Spokesman and Supporting Credibility
Consumers sometimes saw spokesman delivered the message that the product as a source or initiator of the message. Researchers have studied the relationship between consumer understanding about the message and persuasion, and have found that if the understanding is low, the receiver depends on the credibility of the spokesperson in shaping attitudes toward the product, but if the understanding and systematic information processing is high, much smaller source of expertise effects on attitudes receiver.
Kredilitas Messages
Previous experience gained consumers for specific products or retailers greatly affect the credibility of the message. Expectations for products that are met tend to increase the credibility of the message in the future, otherwise disappointing product that tends to reduce the credibility of the message the next time.
Effect of Source Credibility Against Time
Persuasive influence of the sources of highly credible do not always last long, though more influential than a low credible source. Research shows that both effects are positive or negative credibility tends to disappear after about 6 weeks. Symptoms such as these called sleeper effects (sleeper effect).
Audience (MESSAGE RECEIVER) targeted
The recipients of the message interprets the message they received based on experience and personal characteristics.
Definition
Level of accuracy obtained from a message meaning is a function of the characteristics of the message, the opportunity and ability of the receiver to process the message, and the motivation of the recipient. One's personal characteristics affect the accuracy in interpreting the message.
Mood (Mood)
Mood or feelings play an important influence on the way messages are received. The mood of consumers affect the way how an advertisement is received, remembered, and acted upon.
Communication Barriers
Various barriers to communication can affect the accuracy of interpretation of the message by the consumer. These barriers include:
Selective perception, consumers tend to ignore ads that do not contain any special interests or nothing to do with them.
Psychological disturbance, such as advertising messages that compete, can interfere with reception of a message.
FEEDBACK (RESPONSE MESSAGE RECIPIENT)
Sender of the message is important to obtain feedback as soon and as accurately as possible, because through the feedback sender can determine whether and how well the message is received.
Advertising Effectiveness Research
Advertisers often try to measure the effectiveness of the message by holding an audience research to find out what is being read, what television programs are watched and advertisements what is remembered. Research the effectiveness of advertising, called copy testing, can be done before the ad is really loaded (pretesting) or after sunrise (posttesting).
COMMUNICATION DESIGN persuasive
To create a persuasive communication, sponsor (individual or organization) first determine the purpose of communication, then choose the appropriate audience for the message and media to reach them and prepare (encode) the message in a way appropriate to each medium and each audience.
Communication Strategy
In preparing the communication strategy must first determine that the main purpose of communication. An important component of the communication strategy is to choose the right audience.
Media Strategy
The media strategy is an important element in the communication plan. This plan is required for the placement of advertisements in a variety of special media that is read, viewed, or heard by a variety of selected markets to target. Media selection depends on the product, audience, and purpose of advertising campaigns, media strategies can be done through:
World Wide Web (Internet)
A careful determination of target
Direct Marketing
Strategic Messaging
Messages are thoughts, ideas, attitudes, images, or other information to be conveyed to the audience expected sender.
Component in the strategy of the message include:
Rhetoric and Persuasion Advertising, the main focus of research rhetoric is finding the most effective way to express the message in certain situations. Submission of the most effective rhetoric against consumers who do not have the motivation. Ad Resonance is defined as a play on words combined with images that had something to do.
Involvement theory, that in situations of high involvement pembalian with people may be more actively devote cognitive effort to assess the things that is approved or not for a particular product. In situations of low involvement a person more likely to focus on message cues that are not principal.
Presentation of messages, among the various decisions to be taken by marketers in designing the message is the decision of whether to use the structure of positive-negative messages, the message is one-sided or two-sided, ads comparison, the influence of sequence, or repetition. The way the message is presented affects its impact. For example, one-sided message is more effective in some situations and the audience, two-sided message is more effective in other situations. Products with high involvement (a product which is strongly associated with the consumer segment) is best advertised by the principal through persuasion, which encourages active cognitive effort. Products with low involvement is best promoted through a variety of cues are not the principal, such as background scenery, music, or a celebrity spokesperson.
Ad Attraction
Emotional appeal that is often used in advertising includes fear, humor, and sexual attraction. If the sexual theme associated with the product, then this could be a very effective and if used only as a main focal point, the memory of the brand rarely achieved. Audience participation is a very effective communication strategy for encouraging the internalization of advertising messages. Further research is needed to identify the various variables product, audience and situation that mediates the influence of the order and presentation of messages in persuading consumers to buy.
Reference:
Schiffman, L.G., & Kanuk, L.L. 2007. Consumer Behavior, 9th ed. New Jersey, Pearson Prentice Hall.
COMMUNICATION AND CONSUMER BEHAVIOR
COMMUNICATION AND CONSUMER BEHAVIOR
Communication is a unique tool used by marketers to persuade consumers to act in the manner desired. Communication consists of several aspects of them, can take the form of verbal (both written and verbal), visual (illustrations, drawings, product demonstrations, mimic the face) or a combination thereof. Communication can also be a symbol (a high price, high quality packaging, logos impressive) and who wish to convey special meaning instilled by marketers.
COMPONENTS OF COMMUNICATION
There are five basic elements of communication, namely the sender, receiver, medium, message, and some form of feedback (feedback recipient).
Sender
Sender as the initiator of communication, can be a source of both formal and informal. Sources of formal communication may be the organization to gain profit (commercial) and nonprofit. Informal sources may be parents, or friends who provide information or advice about the product.
Recipient
Recipients of formal marketing communications tends to be a candidate or the targeted customers (ie members of the audience targeted by marketers). Audience and an unexpected intermediary also may receive communications of marketers. For example, audience intermediaries are wholesalers, distributors, and retailers, who receive a trade ad marketers that are intended to persuade them to want to order and hold inventory merchandise angry. Audience is not expected that everyone who is exposed to messages that are not specifically targeted by the sender.
Medium
Medium or perhaps impersonal communication channels (eg mass media) or interpersonal (formal talks between the salesperson and the customer or an informal conversation between two people or more that occur directly either by phone, mail or online).
Message
Messages can be verbal (oral or written), nonverbal (photos, illustrations, or symbols), or a combination of both. Verbal messages can usually include information on products or services that are more specific than nonverbal messages. Verbal message coupled with nonverbal messages often provide more information to the recipient than the one between the two.
Feedback
The feedback is an indispensable component in interpersonal communication and impersonal. Rapid feedback allows the sender's time to strengthen, change, or modify the message to ensure that can be understood in accordance with the intended.
COMMUNICATION PROCESS
Proponent Messages (Source)
Sponsor or initiator of the message must decide to whom the message should be sent and what should be conveyed, and then formulate a message in such a way that the meaning interpreted by the targeted audience exactly as intended. Impersonal communication sources usually are organizations that process and send the right message through a special department or spokesperson. Publicity is usually the result of the business community relationships and tend to be more trusted as a source or commercial purpose is not easily known.
Credibility
The credibility of the source affects the formulation of the message. The credibility of sources is an important element in the persuasive message often based on the expected purpose.
Credibility of Informal Sources
Informal sources or the sources of editorial deemed considered very objective and highly credible. Increased credibility provided by informal sources can not be fully guaranteed, although there is a perceived aura of objectivity.
Formal Source Credibility
Formal sources were deemed neutral to have more credibility than commercial sources because of the perception that they are more objective in assessing the product. Kredilitas commercial sources is more problematic and is usually based on a joint assessment or reputation, expertise, knowledge, retail channel, and a spokesman for the company.
Spokesman and Supporting Credibility
Consumers sometimes saw spokesman delivered the message that the product as a source or initiator of the message. Researchers have studied the relationship between consumer understanding about the message and persuasion, and have found that if the understanding is low, the receiver depends on the credibility of the spokesperson in shaping attitudes toward the product, but if the understanding and systematic information processing is high, much smaller source of expertise effects on attitudes receiver.
Kredilitas Messages
Previous experience gained consumers for specific products or retailers greatly affect the credibility of the message. Expectations for products that are met tend to increase the credibility of the message in the future, otherwise disappointing product that tends to reduce the credibility of the message the next time.
Effect of Source Credibility Against Time
Persuasive influence of the sources of highly credible do not always last long, though more influential than a low credible source. Research shows that both effects are positive or negative credibility tends to disappear after about 6 weeks. Symptoms such as these called sleeper effects (sleeper effect).
Audience (MESSAGE RECEIVER) targeted
The recipients of the message interprets the message they received based on experience and personal characteristics.
Definition
Level of accuracy obtained from a message meaning is a function of the characteristics of the message, the opportunity and ability of the receiver to process the message, and the motivation of the recipient. One's personal characteristics affect the accuracy in interpreting the message.
Mood (Mood)
Mood or feelings play an important influence on the way messages are received. The mood of consumers affect the way how an advertisement is received, remembered, and acted upon.
Communication Barriers
Various barriers to communication can affect the accuracy of interpretation of the message by the consumer. These barriers include:
Selective perception, consumers tend to ignore ads that do not contain any special interests or nothing to do with them.
Psychological disturbance, such as advertising messages that compete, can interfere with reception of a message.
FEEDBACK (RESPONSE MESSAGE RECIPIENT)
Sender of the message is important to obtain feedback as soon and as accurately as possible, because through the feedback sender can determine whether and how well the message is received.
Advertising Effectiveness Research
Advertisers often try to measure the effectiveness of the message by holding an audience research to find out what is being read, what television programs are watched and advertisements what is remembered. Research the effectiveness of advertising, called copy testing, can be done before the ad is really loaded (pretesting) or after sunrise (posttesting).
COMMUNICATION DESIGN persuasive
To create a persuasive communication, sponsor (individual or organization) first determine the purpose of communication, then choose the appropriate audience for the message and media to reach them and prepare (encode) the message in a way appropriate to each medium and each audience.
Communication Strategy
In preparing the communication strategy must first determine that the main purpose of communication. An important component of the communication strategy is to choose the right audience.
Media Strategy
The media strategy is an important element in the communication plan. This plan is required for the placement of advertisements in a variety of special media that is read, viewed, or heard by a variety of selected markets to target. Media selection depends on the product, audience, and purpose of advertising campaigns, media strategies can be done through:
World Wide Web (Internet)
A careful determination of target
Direct Marketing
Strategic Messaging
Messages are thoughts, ideas, attitudes, images, or other information to be conveyed to the audience expected sender.
Component in the strategy of the message include:
Rhetoric and Persuasion Advertising, the main focus of research rhetoric is finding the most effective way to express the message in certain situations. Submission of the most effective rhetoric against consumers who do not have the motivation. Ad Resonance is defined as a play on words combined with images that had something to do.
Involvement theory, that in situations of high involvement pembalian with people may be more actively devote cognitive effort to assess the things that is approved or not for a particular product. In situations of low involvement a person more likely to focus on message cues that are not principal.
Presentation of messages, among the various decisions to be taken by marketers in designing the message is the decision of whether to use the structure of positive-negative messages, the message is one-sided or two-sided, ads comparison, the influence of sequence, or repetition. The way the message is presented affects its impact. For example, one-sided message is more effective in some situations and the audience, two-sided message is more effective in other situations. Products with high involvement (a product which is strongly associated with the consumer segment) is best advertised by the principal through persuasion, which encourages active cognitive effort. Products with low involvement is best promoted through a variety of cues are not the principal, such as background scenery, music, or a celebrity spokesperson.
Ad Attraction
Emotional appeal that is often used in advertising includes fear, humor, and sexual attraction. If the sexual theme associated with the product, then this could be a very effective and if used only as a main focal point, the memory of the brand rarely achieved. Audience participation is a very effective communication strategy for encouraging the internalization of advertising messages. Further research is needed to identify the various variables product, audience and situation that mediates the influence of the order and presentation of messages in persuading consumers to buy.
Reference:
Schiffman, L.G., & Kanuk, L.L. 2007. Consumer Behavior, 9th ed. New Jersey, Pearson Prentice Hall.
Communication is a unique tool used by marketers to persuade consumers to act in the manner desired. Communication consists of several aspects of them, can take the form of verbal (both written and verbal), visual (illustrations, drawings, product demonstrations, mimic the face) or a combination thereof. Communication can also be a symbol (a high price, high quality packaging, logos impressive) and who wish to convey special meaning instilled by marketers.
COMPONENTS OF COMMUNICATION
There are five basic elements of communication, namely the sender, receiver, medium, message, and some form of feedback (feedback recipient).
Sender
Sender as the initiator of communication, can be a source of both formal and informal. Sources of formal communication may be the organization to gain profit (commercial) and nonprofit. Informal sources may be parents, or friends who provide information or advice about the product.
Recipient
Recipients of formal marketing communications tends to be a candidate or the targeted customers (ie members of the audience targeted by marketers). Audience and an unexpected intermediary also may receive communications of marketers. For example, audience intermediaries are wholesalers, distributors, and retailers, who receive a trade ad marketers that are intended to persuade them to want to order and hold inventory merchandise angry. Audience is not expected that everyone who is exposed to messages that are not specifically targeted by the sender.
Medium
Medium or perhaps impersonal communication channels (eg mass media) or interpersonal (formal talks between the salesperson and the customer or an informal conversation between two people or more that occur directly either by phone, mail or online).
Message
Messages can be verbal (oral or written), nonverbal (photos, illustrations, or symbols), or a combination of both. Verbal messages can usually include information on products or services that are more specific than nonverbal messages. Verbal message coupled with nonverbal messages often provide more information to the recipient than the one between the two.
Feedback
The feedback is an indispensable component in interpersonal communication and impersonal. Rapid feedback allows the sender's time to strengthen, change, or modify the message to ensure that can be understood in accordance with the intended.
COMMUNICATION PROCESS
Proponent Messages (Source)
Sponsor or initiator of the message must decide to whom the message should be sent and what should be conveyed, and then formulate a message in such a way that the meaning interpreted by the targeted audience exactly as intended. Impersonal communication sources usually are organizations that process and send the right message through a special department or spokesperson. Publicity is usually the result of the business community relationships and tend to be more trusted as a source or commercial purpose is not easily known.
Credibility
The credibility of the source affects the formulation of the message. The credibility of sources is an important element in the persuasive message often based on the expected purpose.
Credibility of Informal Sources
Informal sources or the sources of editorial deemed considered very objective and highly credible. Increased credibility provided by informal sources can not be fully guaranteed, although there is a perceived aura of objectivity.
Formal Source Credibility
Formal sources were deemed neutral to have more credibility than commercial sources because of the perception that they are more objective in assessing the product. Kredilitas commercial sources is more problematic and is usually based on a joint assessment or reputation, expertise, knowledge, retail channel, and a spokesman for the company.
Spokesman and Supporting Credibility
Consumers sometimes saw spokesman delivered the message that the product as a source or initiator of the message. Researchers have studied the relationship between consumer understanding about the message and persuasion, and have found that if the understanding is low, the receiver depends on the credibility of the spokesperson in shaping attitudes toward the product, but if the understanding and systematic information processing is high, much smaller source of expertise effects on attitudes receiver.
Kredilitas Messages
Previous experience gained consumers for specific products or retailers greatly affect the credibility of the message. Expectations for products that are met tend to increase the credibility of the message in the future, otherwise disappointing product that tends to reduce the credibility of the message the next time.
Effect of Source Credibility Against Time
Persuasive influence of the sources of highly credible do not always last long, though more influential than a low credible source. Research shows that both effects are positive or negative credibility tends to disappear after about 6 weeks. Symptoms such as these called sleeper effects (sleeper effect).
Audience (MESSAGE RECEIVER) targeted
The recipients of the message interprets the message they received based on experience and personal characteristics.
Definition
Level of accuracy obtained from a message meaning is a function of the characteristics of the message, the opportunity and ability of the receiver to process the message, and the motivation of the recipient. One's personal characteristics affect the accuracy in interpreting the message.
Mood (Mood)
Mood or feelings play an important influence on the way messages are received. The mood of consumers affect the way how an advertisement is received, remembered, and acted upon.
Communication Barriers
Various barriers to communication can affect the accuracy of interpretation of the message by the consumer. These barriers include:
Selective perception, consumers tend to ignore ads that do not contain any special interests or nothing to do with them.
Psychological disturbance, such as advertising messages that compete, can interfere with reception of a message.
FEEDBACK (RESPONSE MESSAGE RECIPIENT)
Sender of the message is important to obtain feedback as soon and as accurately as possible, because through the feedback sender can determine whether and how well the message is received.
Advertising Effectiveness Research
Advertisers often try to measure the effectiveness of the message by holding an audience research to find out what is being read, what television programs are watched and advertisements what is remembered. Research the effectiveness of advertising, called copy testing, can be done before the ad is really loaded (pretesting) or after sunrise (posttesting).
COMMUNICATION DESIGN persuasive
To create a persuasive communication, sponsor (individual or organization) first determine the purpose of communication, then choose the appropriate audience for the message and media to reach them and prepare (encode) the message in a way appropriate to each medium and each audience.
Communication Strategy
In preparing the communication strategy must first determine that the main purpose of communication. An important component of the communication strategy is to choose the right audience.
Media Strategy
The media strategy is an important element in the communication plan. This plan is required for the placement of advertisements in a variety of special media that is read, viewed, or heard by a variety of selected markets to target. Media selection depends on the product, audience, and purpose of advertising campaigns, media strategies can be done through:
World Wide Web (Internet)
A careful determination of target
Direct Marketing
Strategic Messaging
Messages are thoughts, ideas, attitudes, images, or other information to be conveyed to the audience expected sender.
Component in the strategy of the message include:
Rhetoric and Persuasion Advertising, the main focus of research rhetoric is finding the most effective way to express the message in certain situations. Submission of the most effective rhetoric against consumers who do not have the motivation. Ad Resonance is defined as a play on words combined with images that had something to do.
Involvement theory, that in situations of high involvement pembalian with people may be more actively devote cognitive effort to assess the things that is approved or not for a particular product. In situations of low involvement a person more likely to focus on message cues that are not principal.
Presentation of messages, among the various decisions to be taken by marketers in designing the message is the decision of whether to use the structure of positive-negative messages, the message is one-sided or two-sided, ads comparison, the influence of sequence, or repetition. The way the message is presented affects its impact. For example, one-sided message is more effective in some situations and the audience, two-sided message is more effective in other situations. Products with high involvement (a product which is strongly associated with the consumer segment) is best advertised by the principal through persuasion, which encourages active cognitive effort. Products with low involvement is best promoted through a variety of cues are not the principal, such as background scenery, music, or a celebrity spokesperson.
Ad Attraction
Emotional appeal that is often used in advertising includes fear, humor, and sexual attraction. If the sexual theme associated with the product, then this could be a very effective and if used only as a main focal point, the memory of the brand rarely achieved. Audience participation is a very effective communication strategy for encouraging the internalization of advertising messages. Further research is needed to identify the various variables product, audience and situation that mediates the influence of the order and presentation of messages in persuading consumers to buy.
Reference:
Schiffman, L.G., & Kanuk, L.L. 2007. Consumer Behavior, 9th ed. New Jersey, Pearson Prentice Hall.
SUPPLY CHAIN NETWORK DESIGN
SUPPLY CHAIN NETWORK DESIGN
Supply chain network design decisions include the assignment of the role of facility, location of processing (manufacturing), storage, and transportation-related facilities, and allocation of capacity and the market at each facility. Supply chain network design decisions are grouped into:
The role of facilities
Location facilities
Allocation of capacity
Market allocation and bid
Network design decisions have a significant impact on performance because this decision determines the composition of the supply chain and the accompanying set of constraints in the supply chain of other triggers can also be used to reduce supply chain costs or to improve its response. All of these network design decisions impact on each other and should be a consideration.
Decisions regarding the role of the facility is important because it determines the decision of supply chain flexibility in the amendment to bring together a bid.
Facility location decisions have long-term impact on supply chain performance because it is very expensive in stopping the facility or move to a different location. Decision of the right location can help to better respond to supply chain for low cost.
Capacity allocation decisions also have a significant impact on supply chain performance. Given the capacity allocation can be changed more easily than the location, capacity decisions tend to remain in a few years. Allocating too many facilities do not produce many uses, this high-cost memyebabkan.
The allocation of resources and market demand on the facility also has a significant impact on supply chain performance because it affects the total production, inventory, and transportation costs that occurred in the supply chain to satisfy customer demand. This decision should be considered so that allocations can be changed as market conditions or changes in plant capacity.
Factors affecting the network design decisions
Here's a variety of factors that influence decisions in the supply chain network design.
1. Strategic Factors
A company's competitive strategy has a significant impact on decisions in the supply chain network design. Companies that focus on cost leadership will try to find or create the lowest cost for facilities manufakturingnya. Companies that focus on response rate tends to place a facility that closed in the market and may choose a location to high cost if they meet the company's choice to react quickly to changing market needs. Global supply chain network to support corporate strategic objectives with the role of different facilities in different places.
2. Technological factors
Characteristics contained in production technology have a significant impact on network design decisions. If the production technology displays economies of scale are significant, few high-capacity sites will be more effective. Unlike the case with fixed-cost facilities is lower, many local facilities are prepared because this will help lower transportation costs. Flexibility in production technology have an impact pad level of consolidation that can be achieved by the network.
3. Macroeconomic factors
These factors include taxes, customs duties, exchange rates, and other economic factors that do not exist within the company. This factor has a significant impact on the success or failure of the supply chain network.
4. Political Factors
Political stability in a country is of paramount consideration because it has a significant impact on role in the choice of location. Companies prefer to place the facility at a location or state which has a stability that provide clarity in terms of trade rules and ownership.
5. Infrastructure factors
The existence of good infrastructure is an important prerequisite in allocating facilities in certain areas. Poor infrastructure will further add to business costs.
6. Competitive Factors
Companies must consider the strategy, size, and location of competitors when designing their supply chain network. Making important decisions the company is now set for the company's facilities are not accessible by competitors or in other words away from competitors.
7. Customer response time and local presence
Companies that have targeted customers who can respond in a quick time to put the facilities that are closed to the customer. If the company sends its products to customers, it means that transportation should be slightly built and continue to increase response time is short. This choice resulted in an increase or increase in transportation costs. Furthermore, many situations that require these facilities to customers.
8. The cost of logistics and facilities
Logistics and facilities costs that occur in the supply chain can undergo changes such as the number of facilities, location and capacity allocation. Companies should consider, supplies, transportation and facility costs as the company's supply chain network design. The increasing cost of supplies and facilities, the greater the number of facilities used in the supply chain. The lower the transportation cost, the greater the number of facilities. If the number of facilities increased at a point where the journey economis of scale is lost, then the transportation cost increases. The total number of logistics is the entire inventory, transportation and facility costs.
The framework in network design decisions
The success in designing a supply chain network will maximize profits when the demand satisfied customer needs and have the power response. Network design decisions are made in four stages:
Establish design or supply chain strategy. The purpose of this phase is to establish a large supply chain design. This includes also determine the stages in the supply chain, and each supply chain function to be used.
Appointing the regional facility. The purpose of this phase is to identify areas where it is placed, the rules that apply, and capacity.
Selecting the desired set of potential sites. The purpose of step three is selecting the desired set of potential sites in each region where the facilities would be placed. The place should be chosen based on the analysis provided in the infrastructure to support production of the desired methodology.
The choice of location. The purpose of this phase is to choose the right location and the location of capacity for each facility. Attention is limited to the desired potential places that have been selected in three stages.
Model facility location and capacity allocation
The success of managers in establishing facilities and allocating capacity should be optimized in sseluruh profitability of the supply chain network while increasing the power to respond to the right on the customer. Managers must consider many trade-offs during the design network. Managers use the model of network design in two different circumstances, namely:
Model used to decide the location where the facility will be established and the existing capacity at each facility. Managers must make decisions based on the time will come where the location and capacity can not be changed.
The model used to determine the direct demand for the availability of facilities and identify the path along the product will be passed. Managers must consider its decision on the basis of such request prices, changes in exchange rates and changes in customs.
Supply chain network design decisions include the assignment of the role of facility, location of processing (manufacturing), storage, and transportation-related facilities, and allocation of capacity and the market at each facility. Supply chain network design decisions are grouped into:
The role of facilities
Location facilities
Allocation of capacity
Market allocation and bid
Network design decisions have a significant impact on performance because this decision determines the composition of the supply chain and the accompanying set of constraints in the supply chain of other triggers can also be used to reduce supply chain costs or to improve its response. All of these network design decisions impact on each other and should be a consideration.
Decisions regarding the role of the facility is important because it determines the decision of supply chain flexibility in the amendment to bring together a bid.
Facility location decisions have long-term impact on supply chain performance because it is very expensive in stopping the facility or move to a different location. Decision of the right location can help to better respond to supply chain for low cost.
Capacity allocation decisions also have a significant impact on supply chain performance. Given the capacity allocation can be changed more easily than the location, capacity decisions tend to remain in a few years. Allocating too many facilities do not produce many uses, this high-cost memyebabkan.
The allocation of resources and market demand on the facility also has a significant impact on supply chain performance because it affects the total production, inventory, and transportation costs that occurred in the supply chain to satisfy customer demand. This decision should be considered so that allocations can be changed as market conditions or changes in plant capacity.
Factors affecting the network design decisions
Here's a variety of factors that influence decisions in the supply chain network design.
1. Strategic Factors
A company's competitive strategy has a significant impact on decisions in the supply chain network design. Companies that focus on cost leadership will try to find or create the lowest cost for facilities manufakturingnya. Companies that focus on response rate tends to place a facility that closed in the market and may choose a location to high cost if they meet the company's choice to react quickly to changing market needs. Global supply chain network to support corporate strategic objectives with the role of different facilities in different places.
2. Technological factors
Characteristics contained in production technology have a significant impact on network design decisions. If the production technology displays economies of scale are significant, few high-capacity sites will be more effective. Unlike the case with fixed-cost facilities is lower, many local facilities are prepared because this will help lower transportation costs. Flexibility in production technology have an impact pad level of consolidation that can be achieved by the network.
3. Macroeconomic factors
These factors include taxes, customs duties, exchange rates, and other economic factors that do not exist within the company. This factor has a significant impact on the success or failure of the supply chain network.
4. Political Factors
Political stability in a country is of paramount consideration because it has a significant impact on role in the choice of location. Companies prefer to place the facility at a location or state which has a stability that provide clarity in terms of trade rules and ownership.
5. Infrastructure factors
The existence of good infrastructure is an important prerequisite in allocating facilities in certain areas. Poor infrastructure will further add to business costs.
6. Competitive Factors
Companies must consider the strategy, size, and location of competitors when designing their supply chain network. Making important decisions the company is now set for the company's facilities are not accessible by competitors or in other words away from competitors.
7. Customer response time and local presence
Companies that have targeted customers who can respond in a quick time to put the facilities that are closed to the customer. If the company sends its products to customers, it means that transportation should be slightly built and continue to increase response time is short. This choice resulted in an increase or increase in transportation costs. Furthermore, many situations that require these facilities to customers.
8. The cost of logistics and facilities
Logistics and facilities costs that occur in the supply chain can undergo changes such as the number of facilities, location and capacity allocation. Companies should consider, supplies, transportation and facility costs as the company's supply chain network design. The increasing cost of supplies and facilities, the greater the number of facilities used in the supply chain. The lower the transportation cost, the greater the number of facilities. If the number of facilities increased at a point where the journey economis of scale is lost, then the transportation cost increases. The total number of logistics is the entire inventory, transportation and facility costs.
The framework in network design decisions
The success in designing a supply chain network will maximize profits when the demand satisfied customer needs and have the power response. Network design decisions are made in four stages:
Establish design or supply chain strategy. The purpose of this phase is to establish a large supply chain design. This includes also determine the stages in the supply chain, and each supply chain function to be used.
Appointing the regional facility. The purpose of this phase is to identify areas where it is placed, the rules that apply, and capacity.
Selecting the desired set of potential sites. The purpose of step three is selecting the desired set of potential sites in each region where the facilities would be placed. The place should be chosen based on the analysis provided in the infrastructure to support production of the desired methodology.
The choice of location. The purpose of this phase is to choose the right location and the location of capacity for each facility. Attention is limited to the desired potential places that have been selected in three stages.
Model facility location and capacity allocation
The success of managers in establishing facilities and allocating capacity should be optimized in sseluruh profitability of the supply chain network while increasing the power to respond to the right on the customer. Managers must consider many trade-offs during the design network. Managers use the model of network design in two different circumstances, namely:
Model used to decide the location where the facility will be established and the existing capacity at each facility. Managers must make decisions based on the time will come where the location and capacity can not be changed.
The model used to determine the direct demand for the availability of facilities and identify the path along the product will be passed. Managers must consider its decision on the basis of such request prices, changes in exchange rates and changes in customs.
SOCIAL CLASS AND CONSUMER BEHAVIOR
SOCIAL CLASS AND CONSUMER BEHAVIOR
Social class can be considered as a continuum that is a series of social positions in which each member masyarakatdapat placed, the researchers divided the continuum into a small number of specific social classes or strata. The concept of social class is used to place individuals or families in a social category. Social class is defined as the division of society into a hierarchy of different class status, so that the members of each class have relatively equal status and other class members have a status higher or lower.
SOCIAL CLASS AND SOCIAL STATUS
Measuring social class in terms of social status that is by limiting each social class status that belongs to the number of members compared with members of other social classes. In the study of social class (sometimes called social stratification), the status is often regarded as a relative classification of the members of every social class in terms of certain factors.
For example, relative wealth (the number of economic assets), power (the level of choice or personal influence of others) and treatment (level of recognition received from others) are the three factors that are often used when assessing social class.
SOCIAL CLASS IS A FORM SEGMENTATION AND NATURAL hierarchical
Social class categories are usually arranged in a hierarchy, which ranges from a low status to high. Classification of social class means that other people with them (in the same social class), their superior (higher social class), as well as inferior compared to them (the lower social classes. Membership of social class consumers are used as a frame of reference ( reference group) for the development of attitudes and behavior.
SOCIAL CLASS CATEGORIES
There has been no agreement among the sociologists how many class divisions are required to be able to describe quite clearly the class structure in the United States.
SOCIAL CLASS SIZE
A systematic approach to measure social class covered a wide variety of categories, including a subjective measure, the size of reputation, objective measure of social class.
SUBJECTIVE SIZE
To measure social class with this approach, individuals are asked to assess their social class position respectively. Classification of social class membership is generated based on participants' perception of himself or his self-image of participants. Social class is considered as a phenomenon of "personal" is a phenomenon that describes one's sense of belonging or identification with others. A sense of social group membership are often called social consciousness.
SIZE REPUTATION
Reputation approach for measuring social class requires the informant about the people who elected to make the initial consideration of social class membership of others in society.
OBJECTIVE SIZE
Size objective consisted of various demographic or sosioekonomisyang variabell selected on the individual being studied. Size objective social class is divided into two main categories namely single variable index and index of the combined variable.
Single Variable Index
Index single variable using only one socio-economic variables to assess social class membership. Several variables are used for purposes as follows:
Works, is a social measure widely accepted and may be the best measure of social class that can be documented because it describes the status associated with the job.
Education, level of formal education a person is another estimate for the position of a commonly accepted social class. The higher one's education the more likely the person has a high income and also the position of the admired or respected.
Income, ie individual or family is the other socioeconomic variables are often used to estimate the position of social class.
Other variables, which is used as an index of social class are items owned. Scheme of the most famous and is the most complex assessment tool to evaluate what belongs to the scale of social status Chapin.
Combined Variable Index
Systematically composite index combines a number of socioeconomic factors to form a single measure of overall social class position. This index is very interesting to study because it can describe it better, a completely social class compared with variable index tungggal.
Two composite index of the most important are:
Index of status characteristics, composite measure of social class is the classic Warner's Index of Status Characteristics (ISC). ISC is a weighted measure of various socioeconomic variables occupation, income (total income), the model home and area of residence (environmental quality)
Socioeconomic status score, sosioekonomic Status Score (SES) combine the three variables occupation, family income and education level. SES was developed by the United States Bureau of the Census
SOCIAL CLASS PROFILE LIFESTYLE
It has been found evidence that in every social class there are factors particular lifestyle (beliefs, attitudes, activities and behavior together) that tend to distinguish members of each class of members of other social classes. Profiles of social class is presented as a composite portrait of the following: upper-upper class, upper-lower class, upper-middle class, lower-middle class, lower-upper class and lower-lower class.
MOVEMENT OF SOCIAL CLASS
Upswing due to the availability of free education and various opportunities to develop and promote self-
Movement down
Grouping GEODEMOGRAFI
In recent years this traditional social class size has been improved by hunbungan between geographic and socio-economic data consumers in order to create a more powerful grouping geodemografi. The rationale underlying this is a "person who has the equation in a case usually gather together.
CONSUMER RICH
Rich households is a very attractive target segment because its members have an income that can provide a larger part of all of their income that is free to be used according to their own abilities.
DISCLOSURE TO CONSUMER RICH MEDIA
Media habits of the rich are different from the media habits of ordinary citizens. For example, people have higher incomes watch less TV than those who are lower income.
Divide markets RICH
Because not all wealthy consumers have similar lifestyles, marketers have tried to separate the various segments that are important in this rich market as has been done by Mediamark Research, Inc. (MRI) which has been split into a rich market segments:
Well-Feathered Nests, households with at least one person who earn high incomes and no children (37% of the Upper Deck)
No Strings Attached, households with at least one person who earn high incomes and no children (32% of the Upper Deck).
Nanny's in Charge, households with two or more persons who have income, no one has a high income and no children (11% of the Upper Deck).
Two Careers, households with two or more persons who have income, no one has a high income but no children (14% of the Upper Deck).
The Good Life, households with high wealth levels, with no people to work and heads of households who do not work (6% from the Upper Deck).
At least the local market competitors, the rich countryside is a rich market segment that has not been reached. The rich ordinary rural divided into four categories:
Sub-urban Transplants, people who moved out of town but still home to go to work in cities with high salaries.
Equity-rich sub-urban expatriates, residents who sell their homes to earn a huge profit, then buy a house that is much cheaper in small towns and far different life.
City Folks with Country Homes, rich people who like to spend the winter holidays or summer in the rural areas of beautiful scenery, especially in the mountains and beaches.
Welthy Landowners, farmers and other indigenous people who live life rich in love from the land.
CONSUMERS ARE NOT RICH
People who are low income or lower-class consumers (earning less than $ 30,000) is probably the people who are loyal to brands than consumers are more like an arena they feared would make the mistake of switching to brands that they do not know.
EMERGENCE OF CLASS TECHNO
This class emerge due to technological progress. The people who are not familiar with or less have the computer skills called "technology lag". The notion that the inability to use the technology adequately negative impact on the style and quality of life. This has resulted in the formation of "class structure of technology" which centered around the high computer skills a person has.
APPLICATION OF SOCIAL CLASS TO BEHAVIOR OF SELECTED CONSUMER
CLOTHES, MODE, AND SHOPPING
The members of a particular class has a different perspective on what they deem fit with fashion or good taste. Social class is also an important variable in determining where a consumer is shopping.
SEARCH leisure
Membership of social class are closely related to recreation and leisure activities.
SAVINGS, SPENDING, AND CREDIT
Saving, spending and credit card usage has a relationship with social class position.
SOCIAL CLASS AND COMMUNICATION
The grouping of different social classes in terms of their media habits and how to communicate and receive communications. Knowledge of these differences is important for marketers who divide their markets on the basis of social class.
Reference:
Schiffman, L.G., & Kanuk, L.L. 2007. Consumer Behavior, 9th ed. New Jersey, Pearson Prentice Hall.
Social class can be considered as a continuum that is a series of social positions in which each member masyarakatdapat placed, the researchers divided the continuum into a small number of specific social classes or strata. The concept of social class is used to place individuals or families in a social category. Social class is defined as the division of society into a hierarchy of different class status, so that the members of each class have relatively equal status and other class members have a status higher or lower.
SOCIAL CLASS AND SOCIAL STATUS
Measuring social class in terms of social status that is by limiting each social class status that belongs to the number of members compared with members of other social classes. In the study of social class (sometimes called social stratification), the status is often regarded as a relative classification of the members of every social class in terms of certain factors.
For example, relative wealth (the number of economic assets), power (the level of choice or personal influence of others) and treatment (level of recognition received from others) are the three factors that are often used when assessing social class.
SOCIAL CLASS IS A FORM SEGMENTATION AND NATURAL hierarchical
Social class categories are usually arranged in a hierarchy, which ranges from a low status to high. Classification of social class means that other people with them (in the same social class), their superior (higher social class), as well as inferior compared to them (the lower social classes. Membership of social class consumers are used as a frame of reference ( reference group) for the development of attitudes and behavior.
SOCIAL CLASS CATEGORIES
There has been no agreement among the sociologists how many class divisions are required to be able to describe quite clearly the class structure in the United States.
SOCIAL CLASS SIZE
A systematic approach to measure social class covered a wide variety of categories, including a subjective measure, the size of reputation, objective measure of social class.
SUBJECTIVE SIZE
To measure social class with this approach, individuals are asked to assess their social class position respectively. Classification of social class membership is generated based on participants' perception of himself or his self-image of participants. Social class is considered as a phenomenon of "personal" is a phenomenon that describes one's sense of belonging or identification with others. A sense of social group membership are often called social consciousness.
SIZE REPUTATION
Reputation approach for measuring social class requires the informant about the people who elected to make the initial consideration of social class membership of others in society.
OBJECTIVE SIZE
Size objective consisted of various demographic or sosioekonomisyang variabell selected on the individual being studied. Size objective social class is divided into two main categories namely single variable index and index of the combined variable.
Single Variable Index
Index single variable using only one socio-economic variables to assess social class membership. Several variables are used for purposes as follows:
Works, is a social measure widely accepted and may be the best measure of social class that can be documented because it describes the status associated with the job.
Education, level of formal education a person is another estimate for the position of a commonly accepted social class. The higher one's education the more likely the person has a high income and also the position of the admired or respected.
Income, ie individual or family is the other socioeconomic variables are often used to estimate the position of social class.
Other variables, which is used as an index of social class are items owned. Scheme of the most famous and is the most complex assessment tool to evaluate what belongs to the scale of social status Chapin.
Combined Variable Index
Systematically composite index combines a number of socioeconomic factors to form a single measure of overall social class position. This index is very interesting to study because it can describe it better, a completely social class compared with variable index tungggal.
Two composite index of the most important are:
Index of status characteristics, composite measure of social class is the classic Warner's Index of Status Characteristics (ISC). ISC is a weighted measure of various socioeconomic variables occupation, income (total income), the model home and area of residence (environmental quality)
Socioeconomic status score, sosioekonomic Status Score (SES) combine the three variables occupation, family income and education level. SES was developed by the United States Bureau of the Census
SOCIAL CLASS PROFILE LIFESTYLE
It has been found evidence that in every social class there are factors particular lifestyle (beliefs, attitudes, activities and behavior together) that tend to distinguish members of each class of members of other social classes. Profiles of social class is presented as a composite portrait of the following: upper-upper class, upper-lower class, upper-middle class, lower-middle class, lower-upper class and lower-lower class.
MOVEMENT OF SOCIAL CLASS
Upswing due to the availability of free education and various opportunities to develop and promote self-
Movement down
Grouping GEODEMOGRAFI
In recent years this traditional social class size has been improved by hunbungan between geographic and socio-economic data consumers in order to create a more powerful grouping geodemografi. The rationale underlying this is a "person who has the equation in a case usually gather together.
CONSUMER RICH
Rich households is a very attractive target segment because its members have an income that can provide a larger part of all of their income that is free to be used according to their own abilities.
DISCLOSURE TO CONSUMER RICH MEDIA
Media habits of the rich are different from the media habits of ordinary citizens. For example, people have higher incomes watch less TV than those who are lower income.
Divide markets RICH
Because not all wealthy consumers have similar lifestyles, marketers have tried to separate the various segments that are important in this rich market as has been done by Mediamark Research, Inc. (MRI) which has been split into a rich market segments:
Well-Feathered Nests, households with at least one person who earn high incomes and no children (37% of the Upper Deck)
No Strings Attached, households with at least one person who earn high incomes and no children (32% of the Upper Deck).
Nanny's in Charge, households with two or more persons who have income, no one has a high income and no children (11% of the Upper Deck).
Two Careers, households with two or more persons who have income, no one has a high income but no children (14% of the Upper Deck).
The Good Life, households with high wealth levels, with no people to work and heads of households who do not work (6% from the Upper Deck).
At least the local market competitors, the rich countryside is a rich market segment that has not been reached. The rich ordinary rural divided into four categories:
Sub-urban Transplants, people who moved out of town but still home to go to work in cities with high salaries.
Equity-rich sub-urban expatriates, residents who sell their homes to earn a huge profit, then buy a house that is much cheaper in small towns and far different life.
City Folks with Country Homes, rich people who like to spend the winter holidays or summer in the rural areas of beautiful scenery, especially in the mountains and beaches.
Welthy Landowners, farmers and other indigenous people who live life rich in love from the land.
CONSUMERS ARE NOT RICH
People who are low income or lower-class consumers (earning less than $ 30,000) is probably the people who are loyal to brands than consumers are more like an arena they feared would make the mistake of switching to brands that they do not know.
EMERGENCE OF CLASS TECHNO
This class emerge due to technological progress. The people who are not familiar with or less have the computer skills called "technology lag". The notion that the inability to use the technology adequately negative impact on the style and quality of life. This has resulted in the formation of "class structure of technology" which centered around the high computer skills a person has.
APPLICATION OF SOCIAL CLASS TO BEHAVIOR OF SELECTED CONSUMER
CLOTHES, MODE, AND SHOPPING
The members of a particular class has a different perspective on what they deem fit with fashion or good taste. Social class is also an important variable in determining where a consumer is shopping.
SEARCH leisure
Membership of social class are closely related to recreation and leisure activities.
SAVINGS, SPENDING, AND CREDIT
Saving, spending and credit card usage has a relationship with social class position.
SOCIAL CLASS AND COMMUNICATION
The grouping of different social classes in terms of their media habits and how to communicate and receive communications. Knowledge of these differences is important for marketers who divide their markets on the basis of social class.
Reference:
Schiffman, L.G., & Kanuk, L.L. 2007. Consumer Behavior, 9th ed. New Jersey, Pearson Prentice Hall.
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