Daffodil International University

Faculties and Departments => Business & Entrepreneurship => Business Administration => Topic started by: Shah Alam Kabir Pramanik on November 19, 2015, 06:30:26 PM

Title: Types of Channel conflict:
Post by: Shah Alam Kabir Pramanik on November 19, 2015, 06:30:26 PM
Types of  Channel conflict: Conflicts can be of three types. Such as-
1.   Vertical Conflict: Conflict can crop up in a number of places. It can occur between different levels in a marketing channel Retailers might resent the power of distributors. Manufactures might feel that retailers are not supportive of a national promotional campaign.
2.   Horizontal Conflict: Conflict can occur between parties at the same level in a channel. Retailers in one region might complain that retailers in another region enjoy unfair advantages. Or franchise holders might complain that the parent company is creating too many new franchises.
3.   Multi-Channel Conflict: Finally, conflict can occur between channels in a multi-channel system For example, a distributor might complain that direct sales are cutting into the traditional store-based market.

Causes of channel conflict: the causes of channel conflict are given below-
•   Goal incompatibility
•   Unclear roles and rights
•   Differences in perception 
•   Great dependence of several parties
•   Territory boundary