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L ' Eggs Distribution Channels Essay

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Robert E. Elberson introduced L 'eggs in 1968 while serving as president of the Hanes hosiery division (Arnold 2013). Elberson believed that Hanes was relying heavily on department store sales instead of searching for expansion through market development. Thus he employed a market analyst to examine Hanes hosiery competitors. This resulted in the discovery of "a highly fragmented market in food and drug stores"(Arnold 2013). This led to the selection of L 'eggs distribution channels. The company uses both direct and indirect channels to distribute L 'eggs hosiery. Their direct channel includes Hanes.com and Hanes outlet stores. The customer is able to purchase their hoisery using Hanes.com or by looking up a Hanes outlet location nearest to them that carrys L’eggs hoisery. This provides Hanes the ability to see consumer behavior patterns directly and make decisions based upon this interaction. Their indirect channel include retail stores, Hanes B2B (wholesale orders), and affiliate programs. L 'eggs hosiery can be found in sixteen retail store locations throughout the U.S. Some of these stores include CVS Pharmacy, Rite Aid, Walgreens, Target, Walmart, Safeway and Kroger. By using intermediaries such as retail stores, Hanes can increase their profit and reach a broader customer pool. Through their Hanes B2B program, retail businesses can now place wholesale orders online and receive "direct from manufacturer pricing" ("HanesbrandsB2B," n.d.). To become eligible to

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