Product Distribution Is Changing The Much-Predicted Demise Essay

Length: 2 pages Sources: 1+ Subject: Business Type: Essay Paper: #87553638 Related Topics: Amazon, Value Chain, Hotel Management, Online Shopping
Excerpt from Essay :

¶ … Product Distribution Is Changing

The much-predicted demise of the middlemen, including the fundamental re-ordering of entire distribution networks including the onslaught of the direct selling model, has failed to materialize. The revolution and rapid ascent of disintermediation is being replaced with a much more potentially disruptive force in many industries, and that is a fundamental change in how customers choose to learn and buy products (Shunk, Carter, Hovis, Talwar, 2007). Ironically the disintermediation that was to occur in computer hardware and technologies has given way to a re-intermediation of the value-added reseller (VAR) where knowledge and insight into meeting customer needs is replacing what had been purely theoretical frameworks showing how disintermediation would create more efficient value chains (Mills, Camek, 2004).

Analysis of Disintermediation In The Age of Knowledge-Based Competition

The traditional role of the middlemen, specifically...


The first is the factor of how quickly customers are changing their preferences for how they learn about, purchase, stay loyal to, and seek service from brands they have purchased in the past (Rosenbloom, 2007). The second has been the flattening of many industry value chains where the customer is now the co-creator of value (Mills, Camek, 2004). These two trends have forces the middlemen, or value-added resellers in many industries to differentiate not just on managing a part of the transaction, but on delivering valuable intelligence and knowledge to help the end customer attain the goals they want, or solve the problems they are buying the product to address. Paradoxically disintermediation has given way to a re-integration of resellers and channel partners who have the most knowledge and insight to share in serving the end customers. The only disintermediation occurring today is for resellers who fail to stay in step with the needs of the customer and also stay current on the latest information, intelligence and knowledge needed to stay relevant to customers. Only by being a knowledge re-intermediator can any reseller hope to continually earn…

Sources Used in Documents:


Mills, J.F., & Camek, V. (2004). The risks, threats and opportunities of disintermediation: A distributor's view. International Journal of Physical Distribution & Logistics Management, 34(9), 714-727.

Nissen, M. (2000). Agent-based supply chain disintermediation vs. re-intermediation: Economic and technological perspectives. International Journal of Intelligent Systems in Accounting, Finance and Management, 9(4), 237-237.

Rosenbloom, B. (2007). The wholesaler's role in the marketing channel: Disintermediation vs. reintermediation. The International Review of Retail, Distribution and Consumer Research, 17(4), 327.

Shunk, D.L., Carter, J.R., Hovis, J., & Talwar, A. (2007). Electronics industry drivers of intermediation and disintermediation. International Journal of Physical Distribution & Logistics Management, 37(3), 248-248.

Cite this Document:

"Product Distribution Is Changing The Much-Predicted Demise" (2012, September 22) Retrieved August 19, 2022, from

"Product Distribution Is Changing The Much-Predicted Demise" 22 September 2012. Web.19 August. 2022. <>

"Product Distribution Is Changing The Much-Predicted Demise", 22 September 2012, Accessed.19 August. 2022,

Related Documents
Marketing of Atkins Diet Products in Europe Vs. The US
Words: 7184 Length: 18 Pages Topic: Business - Marketing Paper #: 69775418

Marketing of Atkins Diet Products in Europe vs. The U.S. Background on Atkins Diet (A) Who was Robert Atkins? Atkins was born in Columbus, in the state of Ohio in the year 1930. After having joined the University of Michigan, he graduated with a Major in Pre-meds, after which Atkins received his Medical Degree in the year 1955 from the Cornell University Medical School. By the year 1959, he had finished his residencies

Parmalat Australia Ltd. Company Dairy Product Website:
Words: 930 Length: 3 Pages Topic: Business Paper #: 4668978

Parmalat Australia Ltd. company (dairy product) Website: / 1. Executive Summary: Needs outline: Brief Background issue general ? Main challenge o What problem gap existing current market o What proposal? (argument/) ? What expected result outcome? (How resolve challenge?) 2. Parmalat Australia Ltd. Parmalat Australia Ltd. is an important presence within the global dairy industry. The company -- like any other economic institution -- encounters both challenges as

Customer's Loyalty in the Online
Words: 9559 Length: 35 Pages Topic: Business Paper #: 32168162

Banking and financial services includes such firms as investment banks, commercial banks, brokerage firms, and credit card institutions. The common it pulse throughout the daily operations of these organizations involves utilizing systems to communicate between branches and subsidiaries, establishing operations throughout the world, communicating with the end customer in order to facilitate transactions, and analyzing customer and market attributes in order to reduce uncertainties in such aspects as pricing

Wal Martit the Company Chosen
Words: 4429 Length: 15 Pages Topic: Business Paper #: 83283721

According to one recent study there is little for the employees to fear concerning outsourcing. The results show that although service outsourcing has been steadily increasing it is still very low, and that in the United States and many other industrial countries 'insourcing' of services is greater than outsourcing" (Amiti, 2005, p. 308). The core team concept helps to emphasize the fact that many companies are outsourcing by insourcing, and

Cuba After Castro Cuba Is
Words: 20759 Length: 80 Pages Topic: Drama - World Paper #: 86070607

Those officials who did look at the question of Japanese intentions decided that Japan would never attack, because to do so would be irrational. Yet what might seem irrational to one country may seem perfectly logical to another country that has different goals, values, and traditions. (Kessler 98) The failures apparent in the onset of World War II and during the course of the war led indirectly to the creation

Manufacturing World Class Manufacturing
Words: 15740 Length: 57 Pages Topic: Business Paper #: 64906972

Manufacturing Seven Key Elements for Successful Implementation Norman Binette, Jr. Biddeford, Maine Manufacturing organizations are built on the premise that they possess the ability to provide a wide variety of quality products for their customers. This reputation is dependent upon the constant review of existing processes and the identification of new and innovative methods of production that will enhance and increase the diversification of product lines. One such process that has proven itself