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Polaroid Case

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Polaroid Case
a. How does Polaroid’s distribution needs vary by subsidiary in Europe? What are the implications of these differences? You must consider the cultural diversity of the countries in Europe where Polaroid operates.

In Europe, Polaroid was organized into 12 subsidiaries, each operating a separate warehouse to serve its national market, and the largest subsidiaries reside in France, Germany, Italy, and the United Kingdom. The International Distribution Service Center (IDSC) shipped products to the major national subsidiaries several times a week and the non-major subsidiaries received shipments once a week.

Polaroid’s distribution needs vary by subsidiary in France, Germany, Italy, and the United Kingdom.

In France, consumer products are distributed through 3 primary channels: specialty photographic dealers, hypermarkets, and wholesalers. France had the largest number of customers requiring shipment of products directly to individual retail establishments because of the large volume through the 3 primary channels. Shipping directly to individual retail establishments made Polaroid France differ from other subsidiaries in Europe.

On the contrary, the Polaroid Germany subsidiary shipped to warehouses instead of retail outlets. In Germany, the customers were characterized as being highly demanding of product quality and service standards. Customers opposed late orders, so Polaroid Germany’s distribution needs were different than other subsidiaries in Europe because they fulfilled requests in a few days.

Italy differed than other subsidiaries in Europe because Polaroid consumer products were distributed through photographic dealers, wholesalers, hypermarkets and department stores, AND “special” markets. The Italian customers were characterized as being more flexible, and were not concerned with late or incomplete orders, like the German.

In the United Kingdom subsidiary, 45% of products were distributed through wholesalers, which was a large percentage

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