scholarly journals One Problem, Different Manifestation: Distribution Woes At HDFC Life And SBI Life

2019 ◽  
Vol 8 (3S3) ◽  
pp. 318-326
Keyword(s):  
Life Insurance ◽  
Distribution Patterns ◽  
Life Distribution ◽  
Optimum Distribution ◽  
Group Company ◽  
Channel Conflict ◽  
Channel Strategy ◽  
Transitory Phase ◽  
Online Channel ◽  
Uncertain Distribution

Life insurance distribution in India, like elsewhere, is in a transitory phase. Technological advancements and an untapped market have opened up new vistas in the field. Customer offerings through multiple touch-points seem to be the mantra. While a multi-channel strategy does offer the outreach, there are a number of issues, including, channel conflict, channel cannibalization and channel misalignment, which act as a dampener to such a strategy. The other question is that of finding an optimum distribution mix. We, by virtue of this paper, attempt to delineate the aforesaid, highlighting the manifestation of the same problem of distribution, albeit differently, rather contrastingly - concurrently suggesting the solutions – through two similar bank led (large bank as group company / bank promoted) companies, HDFC Life and SBI Life. Distribution woes have resulted in an uncertain distribution landscape with no clear pattern in sight. Industry numbers show a shrinking agency, a robust bancassurance and a rising online channel. But the pattern is all lopsided in HDFC Life and SBI Life. How to balance the distribution mix, then? Does that mean doing away with the not so hot agency channel? Or does preserving agency still make sense? Or fortifying the banca further is the need of the hour? Or, can the currently hot direct / online channel be pursued vehemently? The implications of such distribution patterns are immense for an industry trying to find a way out of the muddle.

scholarly journals Distribution Problems in Private Bank Led life Insurance Firms: A Contrasting Scenario in the Indian Context

2019 ◽  
Vol 8 (5S3) ◽  
pp. 317-326
Keyword(s):  
Life Insurance ◽  
Distribution Channel ◽  
Distribution Patterns ◽  
Private Bank ◽  
Private Companies ◽  
Insurance Firms ◽  
The Common ◽  
Online Channel ◽  
Uncertain Distribution ◽  
Industry Trends

Life insurance distribution in India is at an inflection point. Whilst life insurance as a phenomenon continues to be an enigma at best, it is its distribution aspect which seems to have taken the cake. Companies are grappling with the problem of designing an appropriate distribution channel mix. At a time when an industry-wise (private companies sans LIC) marked shift could be seen in favour of bancassurance over agency as a channel of choice, it is interesting that upon deeper analysis an intriguing phenomenon over the last five years has occurred, wherein two leading private bank led life insurance firms, namely HDFC Life and ICICI Prudential – both having the support of big banks (HDFC bank & ICICI bank); one being a non bank-promoted entity (HDFC Life), the other a bank-promoted one (ICICI Prudential) - are selling more through bancassurance - in line with the industry trends - but are either dismal in agency numbers or are at least preserving them or at times, are ahead of the industry agency numbers, even when the common refrain is to go the bancassurance way. In fact, ICICI Prudential is overshooting the industry bancassurance trend and HDFC more or less equals it. The last five years have unfolded marked variations in distribution for both these companies, manifestations of which are different. Equally confounding is the fact that with the direct channel (read online) - showing tremendous potential and growth - poised to make further disruptions, the resultant is an uncertain distribution landscape with no clear pattern in sight. Should these companies dispense with the agency channel? Or should they preserve agency? Or should they look to the direct / online channel. How do they strike a balance when disruptions are bound to happen further? This paper attempts to delineate the distribution patterns of these similar bank led companies and the implications thereof of such patterns

Product Choice and Channel Strategy for Multi-Channel Retailers

2011 ◽  
pp. 310-332
Author(s):  
Ruiliang Yan ◽  
John Wang
Keyword(s):  
Optimal Strategies ◽  
Future Research ◽  
Theoretic Approach ◽  
Product Choice ◽  
Market Structures ◽  
Online Sales ◽  
Channel Strategy ◽  
Managerial Implications ◽  
Game Theoretic ◽  
Online Channel

With the explosive growth of online sales, multi-channel retailers are increasingly focused on finding ways of integrating the online channel with traditional retail stores. The need for the development of effective multi-channel strategies is strongly felt by the retailers. The present research normatively addresses this issue and using a game theoretic approach, derives optimal strategies that maximize profits under different competitive market structures. Managerial implications are discussed and probable paths of future research are identified.

scholarly journals Analysis of Enterprise Profitability Based on Dupont Analysis Method -Taking China Life Insurance (Group) Company as an Example

2021 ◽  
Vol 233 ◽  
pp. 01173
Author(s):  
Ding Li
Keyword(s):  
Life Insurance ◽  
Financial Analysis ◽  
Analysis Method ◽  
Enterprise Development ◽  
Group Company ◽  
Advantages And Disadvantages ◽  
Insurance Group ◽  
Dupont Analysis ◽  
China Life ◽  
Core Indicator

Obtaining profits is the main purpose of enterprise development, and profitability is the core indicator for measuring the development status and prospects of enterprises. DuPont analysis method is a comprehensive and effective financial analysis method to evaluate the profitability of enterprises. This article will focus on DuPont analysis method, supplemented by factor analysis method and comparative analysis method to comprehensively analyze the profitability of China Life Insurance Co., Ltd. Analyze the advantages and disadvantages of its profitability, then, give some relevant reasonable suggestions.

Ping An Life Insurance Company of China, Limited and Ping An Insurance (Group) Company of China, Limited v. Kingdom of Belgium (Ping An v. Belgium)

2016 ◽  
Vol 15 (3) ◽  
pp. 532-534 ◽  
Author(s):  
Georgios Andriotis
Keyword(s):  
Life Insurance ◽  
International Investment ◽  
Insurance Company ◽  
Life Insurance Company ◽  
Group Company ◽  
Insurance Group ◽  
First Time

The award in the International Centre for Settlement of Investment Disputes (ICSID) case Ping An v. Belgium was dispatched to the parties on 30 April 2015. The case is of significance for a variety of reasons. To start with, it is the first time that Chinese investors instituted arbitration proceedings under the ICSID rules. Furthermore, it is the first time that Belgium is cited as the respondent in an international investment case.

Rockwell Automation: The Channel Challenge

2017 ◽  
pp. 1-21
Author(s):  
Mohanbir Sawhney ◽  
Michael Biddlecom ◽  
Robert Day ◽  
Patrick Franke ◽  
John Lee-Tin ◽  
...  
Keyword(s):  
Competitive Strategy ◽  
Distribution Channel ◽  
Value Added ◽  
Virtual Network ◽  
National Account ◽  
Industrial Automation ◽  
Channel Conflict ◽  
Link Type ◽  
Channel Strategy ◽  
A Company

Rockwell Automation's Allen-Bradley division was considering how to deal with the threat posed by national distributors in the maintenance, repair, and overhaul (MRO) business for its industrial automation products. National distributors were consolidating the MRO distribution channel, offering national account customers an integrated multichannel solution for their MRO needs. Allen-Bradley had traditionally served its customers through high-touch, high-value-added local distributors, but this channel was inadequate for the demands of large MRO customers. An effort by Allen-Bradley and other manufacturers to create an industry-wide electronic sourcing consortium called SourceAlliance.com had failed. Now the company had to choose between redesigning its traditional channel by creating a virtual network of local distributors, striking an alliance with a national distributor, or withdrawing from the MRO market. It had to contend with difficult channel conflict issues in choosing a channel strategy.To analyze the competitive strategy of a company serving the MRO market.

scholarly journals Strategic Analysis of Dual-Channel Green Supply Chain with an Unreliable and Competitive Supplier

2021 ◽  
Vol 13 (10) ◽  
pp. 5371
Author(s):  
Chongfeng Lan ◽  
Zhongzhen Miao ◽  
Huanyong Ji
Keyword(s):  
Supply Chain ◽  
Production Technology ◽  
Public Awareness ◽  
Green Marketing ◽  
Green Supply Chain ◽  
Dual Channel ◽  
Channel Strategy ◽  
Retail Channel ◽  
Green Production ◽  
Online Channel

With the increasing public awareness of environmental issues, green production has become an important issue for supply chain management. This study proposes an analytical model to investigate the dual-channel green supply chain decisions of a retailer and a competitive supplier; the latter suffers from unreliable production yield. The retailer’s environmental responsibility is considered as a two-echelon supply chain in which the retailer promotes the green product in their marketplace through green marketing. This problem is analyzed and modeled under three available channel strategies, considered in the order in which channel selections are made: a single online channel strategy, a single retail channel strategy, and a dual-channel strategy. The results show that the wholesale price of the manufacturer and the green-marketing effect of the retailer increase with the improvement in the level of the green production technology. Interestingly, the result reveals that a retailer’s expected profit is unimodal in the production technology level under the dual-channel strategy, which suggests that the retailer may not be incentivized to encourage the manufacturer to improve its production technology once a threshold has been reached. Further, we develop the channel selection: the retailer is strictly better off in the single retail channel scenario than that in the dual-channel scenario; however, while the unreliable supplier is better off in the single online channel scenario than that in the single retail channel scenario, its best option is still the dual-channel strategy. Additionally, numerical results illustrate that the expected profits of supply chain parties decrease with the improvement in customer acceptance of the online channel.

scholarly journals Effect of Capital Constraint in a Dual-Channel Supply Chain

Complexity ◽  
2020 ◽  
Vol 2020 ◽  
pp. 1-14
Author(s):  
Lang Xu ◽  
Jia Shi ◽  
Jihong Chen
Keyword(s):  
Supply Chain ◽  
Wholesale Price ◽  
Selling Price ◽  
Pricing Decisions ◽  
Dual Channel ◽  
Channel Strategy ◽  
Pricing Decision ◽  
Key Factor ◽  
Online Channel ◽  
Dual Channel Supply Chain

Capital constraint is a significant factor that mainly restricts the development of small- and medium-sized enterprises. This paper explores the channel strategy and pricing decision in a dual-channel supply chain, which consists of one supplier and one retailer. Adequate and inadequate capital constraints for the supplier are distinguished by determining whether open the retail channel to sell. The observations offer managerial insights into supply chain member. First, the results indicate that the capital constraint is a key factor affecting channel strategies and pricing decisions. With the increased value of capital constraint, the wholesale price of offline channel and the selling price of online channel firstly decrease and then remain constant. Second, the results demonstrate that, with capital constraint, the supplier pays more attention to consumers’ brand loyalty if it chooses to open the online channel only. Additionally, the price-sensitivity parameter has no effect on the strategy of opening only the offline channel. Moreover, when the channel competition is too intense, the supplier will choose to only open the online channel strategy and increase the online selling price if the capital is insufficient.

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