1. Comment on this situation in terms of the different perspectives of the manufacturer and the retailers about this environmental development.
There are two different perspectives present in the given situation. James Johnson sees the situation as one of potential growth for the organization, while Bill Allan recognizes the fact that simply because there is a recent rise in energy prices, this does not mean that this is a potential benefit for the DIY market, potentials causing issues and necessitating consumers tightening their belts to meet pricing changes as opposed to spending more to reduce overall costs due to the increases.

4. Do you think hhgregg can compete with Best Buy and Walmart successfully as a relatively small consumer electronics retailer by offering a customer experience that is not available from the giants? Why or why not?
I believe that hhgregg will be able to pull some of the customers from the retail giants simply as a result of the fact that most consumers are tired of the type of experience, or lack thereof, offered by the retail giants. Consumers are more concerned with a more personalized experience, one in which they can have their questions answered by knowledgeable sales staff as opposed to attempting to track down employees who are never available and if they are available cannot assist with the questions being asked. In spite of this, consumers are more interested in the most cost effective experience, something that a smaller chain cannot offer. I believe that hhgregg will be able to pull away some of the customers from the retail giants as a result, but they will not be able to compete on the same level because they cannot afford to match the prices of the retail giants.

6. Do you think e-book channels will eventually totally replace conventional, physical book channels? Why or why not?
I do not believe that e-book channels will ever completely replace conventional, physical book channels because in spite of the fact that e-book sales have risen in recent years, the pull of the book, the appeal of the book, and the book experience will never be able to replace the experience afforded by the presence of a physical book. In addition, as a result of the increasing prevalence of online medium, physical books afford one the availability of removing oneself from viewing text in a screen based medium, something that is a necessity in today’s day and age.

Textbook Assignment: Chapter 8: Issues for Discussion
3. Do you think the vending machine channel will work for healthy foods as well as this channel worked to sell junk food to students? Why or why not?
I do not believe that the healthy food will be able to be sold effectively in vending machines for a variety of different reasons. Individuals are willing to pay slightly more for junk food in vending machines, knowing that they are paying for the convenience of an immediately available junk food; however health foods are already overpriced, and as such, individuals are going to be unlikely and unwilling to pay even more on top of these high prices for the purposes of convenience. The target audience is only willing to pay so much for the obtainment of such items and no more; the convenience costs associated with vending machines would not be something most individuals would be willing to pay.

7. Is Avijit Mohan being fair with his criticism? Discuss in terms of consumer buying patterns, the constraints on the department stores and Mohan’s choice of channel structure to sell these products.
Mohan is being completely fair in his criticism. He is providing a high quality product and he is right in his expectation that those he is entrusting to sell his products should be able to do so in a manner that works to highlight the benefits of the products themselves. While it is true that certain department stores have different constraints, it is within Mohan’s right to want his product sold in a certain manner, though if he wishes something done about this, he will need to look for alternative distribution channels, taking action instead of simply complaining to his wife.