Scribd Logo
Upload

Welcome to Scribd!

  • 5K views

    Channel Conflicts

    Uploaded by

    ARUN
    This document discusses channel conflicts that can occur within distribution channels. It describes three types of channel conflicts: horizontal, intertype, and vertical. The causes of channel conflict include goal incompatibility between channel members, issues around roles and domains, communication breakdowns, different perceptions of reality, and ideological differences. Methods for resolving channel conflicts involve problem solving, persuasion, negotiation, political approaches, and withdrawal from the relationship.

    Copyright:

    Public Domain
    Download as PDF or read online from Scribd

    Channel Conflicts

    Uploaded by

    ARUN
    5K views12 pages
    This document discusses channel conflicts that can occur within distribution channels. It describes three types of channel conflicts: horizontal, intertype, and vertical. The causes of channel conflict include goal incompatibility between channel members, issues around roles and domains, communication breakdowns, different perceptions of reality, and ideological differences. Methods for resolving channel conflicts involve problem solving, persuasion, negotiation, political approaches, and withdrawal from the relationship.

    Original Description:

    arunvg21@gmail.com

    Copyright

    © Public Domain

    Available Formats

    PDF or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    This document discusses channel conflicts that can occur within distribution channels. It describes three types of channel conflicts: horizontal, intertype, and vertical. The causes of channel conflict include goal incompatibility between channel members, issues around roles and domains, communication breakdowns, different perceptions of reality, and ideological differences. Methods for resolving channel conflicts involve problem solving, persuasion, negotiation, political approaches, and withdrawal from the relationship.

    Copyright:

    Public Domain
    Download as PDF or read online from Scribd
    Download as pdf
    5K views12 pages

    Channel Conflicts

    Uploaded by

    ARUN
    This document discusses channel conflicts that can occur within distribution channels. It describes three types of channel conflicts: horizontal, intertype, and vertical. The causes of channel conflict include goal incompatibility between channel members, issues around roles and domains, communication breakdowns, different perceptions of reality, and ideological differences. Methods for resolving channel conflicts involve problem solving, persuasion, negotiation, political approaches, and withdrawal from the relationship.

    Copyright:

    Public Domain
    Download as PDF or read online from Scribd
    Download as pdf
    You are on page 1of 12

    Channel Conflict

    ARUN VARGHESE
    S3 MBA
    MACFAST
    arunvg21@gmail.com
    Channel Conflicts

     Channel conflict occurs whenever channel


    members have distinctly different opinions or
    perceptions about distribution channel affairs. If
    no interdependence exists, there would be no
    basis for conflict. Mutual dependence creates
    the basis for conflict

    2
    Types of Channel Conflict

     Horizontal Conflict – Occurs amongst similar


    firms at the same level in a distribution
    channel.
     Intertype – Occurs amongst different
    intermediaries at the same level in a
    channel. Differs from horizontal in that bit
    occurs among dissimilar institutions.
     Vertical - Occurs amongst different levels
    within a channel of distribution.

    3
    Causes of Channel Conflict

     Goal incompatibility – Though channel members


    share the common goal of maximising their joint
    effectiveness, each is a separate legal entity.
     Each has its own employees, owners and
    interest groups who help shape goals and
    strategies, some of which may not be totally
    compatible with those of other channel
    members.
     This incompatibility may be the underlying
    cause of stress, ultimately creating conflict.

    4
    Causes of Channel Conflict

     Position, Role and Domain Incongruency –


    Changes in specification of position or poorly
    defined roles may cause conflict.
     Incompatibility develops within channel
    arrangements as roles and methods of operation
    change.
     Conflict also arises when there is lack of
    agreement concerning appropriate domain of
    members

    5
    Causes of Channel Conflict

     Communication Breakdown
    Often is the reason for channel conflict.
    Could occur in 2 ways:

    • 1) When a firm fails to exchange vital information


    with other channel members.

    • 2) Through noise and distortion

    6
    Causes of Channel Conflict

     Different Perceptions of Reality

    Conflict occurs when different channel members


    differ in methods of achieving mutual goals or
    have different solutions to a mutual problem
    Even when they have a strong desire to
    cooperate, conflict can result from different
    perceptions of the facts

    7
    Causes of Channel Conflict

    Ideological Differences
    it is similar to those resulting from differences in
    perceived roles and expected behaviours.
    Can result from big-business and small-business
    perceptions of the appropriate role of
    management

    8
    Resolution of Channel Conflict

     Problem Solving:
    Superordinate Goals:
    Essentially a goal that all channel members desire but that cannot
    be achieved by anybody acting alone.. Development of a
    superordinate goal overrides individual member goals.
    Communication Processes :
    Seeks to alleviate communication noise in distribution channels.
    More efficient communications in the channel will permit channel
    members to find solutions to their problems based on common
    objectives. Meetings and trade publications allow members to develop
    solutions to common problems and reinforce relationship

    9
    Resolution of Channel Conflict

     Persuasion
    Emphasis is on influencing behaviour through
    persuasion rather than only sharing information.
    Specifically, it seeks to reduce conflict about
    domain
     Negotiation
    The objective is to halt a conflict, no attempt is
    made to fully satisfy a channel member. Could
    lead to a compromise, once basic reason for
    stress is arrested

    10
    Resolution of Channel Conflict

     Politics
    Refers to the resolution of conflict by the
    involvement of new parties in the process of
    reaching an agreement.
    Solutions
    1.Coalition formation
    2.Mediation & Arbitration
    3.Lobbying & Judicial Appeal
     Withdrawal
    If all other methods fail, then the last option for the
    termination of conflict is for one firm to withdraw
    from the relationship.
    11
    THANK YOU

    12

    You might also like