Sales and distribution of dell, tupperware, ibm, amway

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Information about Sales and distribution of dell, tupperware, ibm, amway

Published on March 12, 2014

Author: unitedworldmba



Sales and distribution of dell, tupperware, ibm, amway



Tupperware entered the Indian market in the year 1996.It started its operations from New Delhi and appointed 15 distributors in the first 12 months. Tupperware’s initial focus was on utility rather than style, and these 15 distributers were given training on a 14 week designed training program. Eleven products were launched in India , which were useful rather than decorative and added new products at regular intervals and dropped those which didn’t sell well. SALES PROCESS Tupperware adopted the direct selling method. However it adopted a three- tire structure, Whereas Amway another direct selling company followed a model where the distributors were the center of the model. In case of Tupperware the network structure had three levels.

First, the lowest level was the Dealer then was the Manager and finally at the top level was the Distributor. The network of Tupperware in any country had 90% women employees, whereas in India it was 100% women employees. As said by the executives, that Tupperware only offered food storage products in India and kitchens in India are primarily looked after by women, it was easier to promote products through women, and they felt that Indian women were not comfortable working with men. Tupperware came up with an innovative method for selling its products called the ―party plan‖. Here what happened was that Tupperware’s products and usages were demonstrated to the customers. This method allows the Tupperware products to be demonstrated physically and their utility explained and by this process they justify the reason for the higher costs of the products through party plan. Their focus on customization, product, people earned them recognition and with the involvement with other companies helped in the promotion of Tupperware products in India. However the downside was that the Party plan requires the hostess bear the costs, moreover advertising and promotions created a suspicion that company is taking direct orders and reducing their commissions so this type of party plan and direct selling did not attract the competent personnel. PROCEDURE FOR BECOMING A TUPPERWARE SALES CONSULTANT

TUPPERWARE’S RECRUITMENT PROCESS Tupperware India organised direct selling recruitment drive recently which was attended by as many as 1750 women. Talking about the event Asha Gupta, MD, Tupperware India said, ―We are extending Tupperware's Chain of Confidence, which is, one woman helping the other to become financially independent. The best way to succeed is by helping others to succeed. Our aim is to introduce and educate women about a convenient and simple way to economic empowerment which is not restricted by the barriers of educational qualifications or economic status. Tupperware basically invites resumes from women all over the country seeking for job opportunities and also as a secondary source of income. The pool of resumes is basically very Step 1 • Finidng a Tupperware sales consultant in the preferred area Step 2 • Meeting up with the Tupperware sales consultant Step 3 • Purchasing Tupperware starter kits and getting started Step 4 • Sell Tupperware products and start earning compensation

large as people would like to associate themselves with a quality brand like Tupperware. Moreover working from your house saves the costs of a normal business setup making it much more lucrative. The jobs in Tupperware are basically of two types: 1) As a home based employer- Selling Tupperware products is one of the best work from home jobs because is is easy. Interested individuals contact a local Tupperware consultant, he/she will helps in getting or planning a party. You don't have to spend hours reading about the latest home business ideas. If you're looking for the best home based business that will let you build a career while spending more time with your family, contact Tupperware. They offer the best work at home opportunities for people who want to be their own boss. 2) Becoming a Tupperware consultant and become an entrepreneur- Tupperware offers an exciting way to start a new career. . Tupperware offers you the chance to get respect as an entrepreneur and acknowledgement for a job well done. Tired of looking for legitimate self-employment opportunities? Become a Tupperware consultant and enjoy building a successful enterprise of your own. It has been seen that because of this lucrative job profile brands like Tupperware thrive during economic downturn. When the country is not in a favourable state and people are losing their jobs because of a depression, they look upto brands like Tupperware as a source of income, and because of the intense completion among the distributors they generally tend to do well in the market. COMPENSATION PROCESS Regarding compensation Performance based compensation was given.The Dealers earned 25% commission on sales. The Manager made profit on sales and training whereas the distributer made profit on sales of the entire distribution team.

TUPPERWARE’S INNOVATION  Direct selling and party plan  Tupperware’s network structure of three levels.  Its decision on the distribution system to change to a multi warehousing system.  Its marketing strategy of 3 P’s product, party plan and people.  Decision of customizing products to the Indian kitchens.  Decision of reducing prices on few of its products in order to attract middle class customers  Its advertising strategies through Elle, Femina and Parenting. And cross promotional strategies with P&G, Whirlpool and HLL.


Amway is an American multinational direct-selling company that sells a variety of products, primarily in the health, beauty, and home care markets to consumers and independent business owners. Amway was founded in the year 1959. Amway conducts business in more than hundred countries around the world. SALES PROCESS The activities of each Amway distributor are determined by the Amway Sales and Marketing Plan. Amway practices direct selling. They do not supply their products to organized retail. They do not go for door to door selling. Amway takes the help of distributors to sell its products. Each distributor can then again introduce further distributors and generate retail profits supplemented by bonus payments based on total sales of the group built by the distributors

• The retailing of goods to consumers. Retail margins (mark-ups) on the basic wholesale price represent income to the selling distributor. 1 • Additional performance and leadership bonuses, paid on the volume of personal business of the distributor and the business volume of the distributors he has introduced to the business. 2 • Various levels of leadership bonuses, dependent upon the overall size and shape of the business, paid on achieving different levels of business performance. 3

This plan, therefore, rests upon the twin foundations of retailing and sponsoring. Direct selling involves sales people showing and demonstrating products to obtain orders. The objective involves matching consumer needs with the product. The better the match, the more lasting the potential for the relationship between the seller and the buyer. The selling process is aided by Amway's retail strategy to provide high quality, readily purchasable items with a good environmental positioning, offering consumer’s good value for money. As with all direct selling activities, the process involves two-way communication and this can be time-consuming. Business success and the resulting financial results are a direct consequence of effort, commitment and personal group motivation. • The selling of goods to consumers on which retail margins are earned and performance bonuses gained. Retailing • The introduction of other individuals to establish and develop their own independent Amway distributorships. Sponsoring

Personal contact between distributors at one-to-one or group meetings provides the opportunity for individuals to discuss  strategies,  difficulties,  levels of involvement and  plans for the future. COMPENSATION PROCESS Amway Quixtar Compensation Plan What exactly are Amway and Quixtar? Quixtar has merged with Amway, the sister company and it has formed Amway Global, a single international company. Previously known as Quixtar North America, Amway Worldwide is an MLM business opportunity. The company offers a wide range of products related to individual care, skin care, drinking water and air purifiers, nutritional supplements and a wide range of items for home cleaning. Because of the fact that Quixtar Amway’s Compensation plan was the original network marketing strategy in existence it provides a complicated and less distributor- pleasant pay plans than many more recent companies provide. It may take a long time to build a substantial down line which results in a substantial re-occurring income. Amway Quixtar’s Compensation Plan is dependent on the selling or disbursing of their products. The actual distributor earns income from a retail markup on product sales to customers as well as earning extra cash from monthly overall performance bonuses ranging from 3% in order to 25% depending on business quantity and monthly efficiency.

RECRUITMENT PROCESS The rolls associated with Amway’s sales force over the last 40 years represents a huge market that has been selected without bias of any kind. There are presently over 3 million active distributors or IBO’s around the world working in over 80 countries. There are three million active Amway members represents the 20%, then the total number who have registered would be about actually over 15 million. Among the precepts used to determine how many presentations it might need to sponsor somebody into the Amway business, would be to ―show 10 or sponsor 2.‖ This means that, statistically, if Amway Sales and Marketing Plan recruits ten people, two may sign up. If the numbers are extrapolated, each of these 15 million distributors would have presented the actual Sales and Marketing Plan to the combined total associated with 150 million people to find 3 million who signed up. An additional guideline that moves within the Amway business is that in order to find one person who’ll take the time to ―see‖ the plan, one need to ―approach‖ three to five people. Mathematically again, in order sign up 3 million people, 15 million people would have to collectively strategy 450-750 million people. That means, mathematically, that everyone in America continues to be approached at least twice through an Amway distributor. The more people Amway business recruits, the more money it makes. But Amway is not based entirely on adding people in to the business. If this were the case it would be a pyramid scheme. Many of the allegations aimed at Amway call it a pyramid scheme but it is not, and the law agrees. They sell good products and provide a good retail opportunity.


INTRODUCTION In 1983, 18-year-old Michael Dell left college to work full-time for the company he founded as a freshman, providing hard-drive upgrades to corporate customers. In a year’s time, Dell’s venture had $6 million in annual sales. In 1985, Dell changed his strategy to begin offering built-to-order computers. The meteoric rise of Dell Computers was largely due to innovations in supply chain and manufacturing, but also due to the implementation of a novel distribution strategy. By carefully analyzing and making strategic changes in the personal computer value chain, and by seizing on emerging market trends, Dell Inc. grew to dominate the PC market in less time than it takes many companies to launch their first product. DIRECT SALES Dell started out as a direct seller, first using a mail-order system, and then taking advantage of the internet to develop an online sales platform. Well before use of the internet went mainstream, Dell had begun integrating online order status updates and technical support into their customer- facing operations. By 1997, Dell’s internet sales had reached an average of $4 million per day. While most other PCs were sold preconfigured and pre-assembled in retail stores, Dell offered superior customer choice in system configuration at a deeply discounted price, due to the cost- savings associated with cutting out the retail middleman. This move away from the traditional distribution model for PC sales played a large role in Dell’s formidable early growth. Additionally, an important side-benefit of the internet-based direct sales model was that it generated a wealth of market data the company used to efficientlyforecast demand trends and carry out effective segmentation strategies. This data drove the company’sproduct- development efforts and allowed Dell to profit from information on the value drivers in each of its key customer segments.

COMPENSATION PROCESS Making individual compensation decisions for executive officers, the committee takes many factors into account, including the performance of the company overall; the recommendation of the Chairman and Chief Executive Officer (except for decisions relating to his own compensation); the individual’s performance and experience; the individual’s historical compensation; comparisons to other executive officers (both those of the company and those of Dell’s peer group); and any retention concerns if relevant. Compensation Consultants The charter of the Leadership Development and Compensation Committee authorizes the Committee to engage independent consultants at any time at the expense of the company, but did not engage independent consultants in Fiscal 2008. The Committee periodically evaluates the need to engage outside consultants. Elements of the Total Compensation Package The key elements of the compensation program for our executive officers are base salary, annual incentive bonus, long-term incentives and benefits. The chart below is representative of the target overall pay mix for our Named Executive Officers, excluding Mr. Dell, who does not receive any long-term incentives. The committee takes a holistic approach to executive compensation and balances the individual compensation elements for each executive officer individually. The total compensation package for each Named Executive Officer is tailored to the individual. A representative comparison of the Fiscal 2008 target value of each element to the whole for the Named Executive Officer population is illustrated in the following graphic:




SALES PROCESS Signature Selling is a Systematic Sales Process, focused on customer interactions. Signature Selling Method Objective: Create customer value at every stage in the buying process Create and leverage the synergy of Team IBM Improve the speed, quality, and volume of our opportunity pipeline. High Performance Selling Objectives: Move from mind share to much more market share Generate more revenue from existing customers Create new customers and new workloads Leverage key components: hiring, incentive plans, professional training, SSM...

What it means to IBM sellers:  shorter sell cycles  improved win rates  more and larger-sized opportunities Signature Selling Method Objective: Create customer value at every stage in the buying process Create and leverage the synergy of TeamIBM Improve the speed, quality, and volume of our opportunity pipeline

IBM’S RECRUITMENT PROCESS Recruitment is distinct from Employment and Selection STEPS IN SELECTION PROCESS Friday, July 08, 20117  RECEPTION To create a favorable impression on the applicants’ right from the stage of reception.  SCREENING INTERVIEW Generally planned by large organizations to cut the cost of selection by allowing only eligible candidates to go through the further stages in selection.  APPLICATION BLANK Application blank or form is one of the most common methods used to collect information like—•Personal data (address, sex, telephone number) •Marital

data•Educational data•Employment Experience•Extra-curricular activities•References and Recommendations.  SELECTION TESTING Attempts to asses intelligence, abilities, personality trait, performance, simulation tests. Some of the commonly used employment tests are: •Intelligence tests Aptitude tests Personality tests Achievement tests.  SELECTION INTERVIEW Interview is the oral examination of candidates for employment. The most essential step in the selection process Interviewer matches the information obtained about the candidates through various means to the job requirements  MEDICAL EXAMINATION: Certain jobs require physical qualities like clear vision, perfect hearing, unusual stamina, tolerance of hard working conditions, clear tone, etc.Medical examination reveals whether or not a candidate possesses these qualities.  REFERENCE CHECKS Once the interview and medical examination of the candidate is over, the personnel department will engage in checking references Candidates are required to give the names of 2 or 3 references in their application  HIRING DECISION The line manager has to make the final decision now – whether to select or reject a candidate after soliciting the required information through different techniques.  SELECTION PRACTICES OF RENOWNED COMPANIES Siemens India– It uses extensive psychometric instruments to evaluate listed candidates. It also prepares a personality questionnaire to understand the candidate’s personality. PepsiCo India-- Company uses competency based interviewing technique that look at candidate’s abilities in terms of strategizing, lateral thinking, problem solving in the real environment.  RECRUITMENT PROCESS OF IBMFor a student, the process begins with sending the resumes, through the Campus TPO’s (Training and Placement Officer).This is then followed by an independent selection process involving a round of discussions. This is where the student's interests and skills are matched with the existing business problems that ISL (India Software Lab) projects plan to solve. A selection offer is made once a match is found.

 ELIGIBILITY CRITERION OF IBM Internship Program ISL has an Internship Program wherein students interested in doing their engineering projects for a period of 6 months Extreme Blue Program It is a premier internship for top notch students pursuing software development degrees CAS(Centre Advance Study) ISL offers M.Tech, M.S and PhD students, access to the IBM research areas, technical staff and other resources, with the goal of solving research problems of the utmost importance, through its Center for Advanced Studies (CAS) program You should have a minimum aggregate of 70% in Engineering (till the last semester till which the exams have been declared)However, for all IITs, IISCs and colleges in Maharashtra, a minimum aggregate of 60% is enough.. COMPENSATION PROCESS Compensation halts the execution of a process and redresses the operations designed to be compensated that have already taken place. Compensation has at times been described as a means of undoing an action, but this isn't necessarily accurate. More specifically, it is a service that is executed when a state is reached in your process that you have deemed to be undesirable. The goal is not always to return to a previous condition, but instead it is to maintain a balanced and consistent state and to compensate for any committed operations that conflict with this state. There are two types of compensation: business compensation which occurs outside of a transaction, and technical compensation that occurs within. Business compensation  This type of compensation is used in transactional process where an operation has already been committed, and cannot be reversed. Business compensation is another operation that, when executed, will create a balanced state where both business partners are satisfied.

For example, if something goes wrong at any time during a typical business transaction such as the one described in transactional processes, it is a simple matter of replacing the object on the shelf, and halting all communication between the purchaser and the vendor. If however, the transaction has been committed (money has been exchanged and a receipt issued), then cancelling it is not possible, as it has already taken place. You cannot simply return the object to the shelf from whence it came. A completely different procedure (a refund) must take place to return the conditions to a balanced state. The operations that have already taken place have to be compensated for in order to return to a situation in which both partners are satisfied. It is not necessarily exactly the same state that existed before (for example, if the customer paid in cash  they may receive a store credit in return), but nonetheless it is one that is balanced and consistent.  If either the customer or the vendors are unhappy, then business compensation has not been successful. Technical compensation  Technical compensation is used in transactions that fail before they have been committed and one of the operations cannot be reversed. For example, imagine that, in the example described in transactional processes, the customer had requested that the object be personalized in some way. The vendor complies, but before money is exchanged, something unexpected happens, and the transaction is cancelled. The object cannot simply be returned to the shelf, another procedure must be executed to take into consideration the personalization that took place.  In another example, imagine that in your process, one of the activities within a transaction sent out an e-mail, but the transaction was cancelled before it was committed. You cannot undo the sending of an e-mail, so you must compensate in some other way. Choosing the appropriate compensation for your process There are two ways in which you can compensate a business processes. Here are some suggestions on how to choose the one that is best for you. The two options are:

Compensation pairs are the original properties of each of the individual parts of a business process. These properties are saved so that they can be restored if the process cannot be committed and must be rolled back. The original status of the activity is stored in an operation, and its value in a variable. Compensation handler A compensation handler is a series of isolated activities that are associated with an activity within a business process. The activities within such a handler will only run when a fault is thrown, and after the parent activity has already been committed. The goal of a compensation handler is to return a failed process to a balanced state. This may be a very easy decision for you. In fact it may already be made for you. Keep the following critical points in mind:  If you do not have IBM® extensions enabled for this process, then you cannot use compensation pairs and must use a compensation handler. The compensation tab in the business process editor is an IBM enhancement of the BPEL programming language, and so will not be available if this option was disabled when the process was initially created.  You cannot use a compensation handler with a microflow. Since microflows run within a single transaction, you must use the compensation tab of the business process editor to store the original properties of each invoke activity in the event that the process fails. So, if you are designing a long-running process, then you can use either of these options. If the compensation characteristics of each activity are fairly simple (in that compensation can be achieved in a single step), then consider using compensation pairs for each of these activities. If, however, you require compensation that makes use of more complicated logic, assign a compensation handler to each activity, and populate it with the necessary objects. Campus Ahmedabad Campus: Karnavati Knowledge Village, A/907,Uvarsad, S.G.Highway, Gandhinagar Kolkata Campus: Infinity Benchmark Tower 10th Floor, Plot - G1, Block - EP& GP, Sec - V, Salt Lake, Kolkata. Reg. Office: 407, Zodiac Square, 4th Floor Opp. Gurudwara, S.G. Road, Bodakdev, Ahmedabad.

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