BUSINESS ADMINISTRATION
INTERNATIONAL MARKETING
Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Logistics distribution
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Anti-intermediation
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Disintermediation
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Intermediation
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Detailed explanation-1: -Disintermediation in Distribution Channels In a disintermediated system, the consumer directly deals with the producer, thus removing the intermediaries or middlemen from the supply chain. There may be more than one level of intermediaries in a supply chain.
Detailed explanation-2: -Disintermediation is the process of removing the middleman or intermediary from future transactions. Instead of going through traditional channels such as a distributor or wholesaler, companies serve consumers directly.
Detailed explanation-3: -Disintermediation means cutting out the middlemen from the distribution channel to sell directly to the customers. For example, if brokers are eliminated as an intermediary so that a firm can deal and offer its shares directly to its potential buyers, it would be a case of disintermediation.
Detailed explanation-4: -Examples. Notable examples of disintermediation include Dell and Apple, which sell many of their systems direct-to-consumer-thus bypassing traditional retail chains, having succeeded in creating brands well recognized by customers, profitable and with continuous growth.