Capsim

CAPSIM Student’s Name Institutional Affiliation Course Instructor Date CAPSIM The market dynamics have indicated a generational shift in consumer needs and expectations. The older generation of consumers, comprised of hardcore outdoor climbers and hikers, are settling down and changing their lifestyles to more indoor-focused events. This lifestyle change is also likely to impact future generations, which means that Gorshland needs to review its distribution channels so that it can target rural users who live in harsh environments and are likely to require performance-focused apparel. In contrast, the LOTUS division should focus on urban users, who are driven by fashion trends and indoor activities. The company must consider several factors to decide on the most appropriate distribution channel. According to Kottler and Keller (2016), these factors include operational costs, consumer choices, convenience, and control perspectives. The mode of access for rural users in terms of advertising and distribution will be slightly different from that of urban users. Whereas urban consumers will utilize a more digitalized approach in communication and product purchases, rural users often opt for offline or physical interaction modes of advertising and distribution. Therefore, while focusing Gorshland on the rural population and LOTUS on the urban users, the company should c...