Discuss how a manufacturer selling directly to its end-user customers can create conflict with its other distribution partners.

Question

(please write as much detail as possible and use references or work cited)

Answer 1

The fundamental concept of channel conflict is competition. For example, when Apple Inc. decided to open retail stores this immediately created channel conflict. Now the consumer needs to choose to buy the Apple product at the Apple store or at a retailer, for example Best Buy. Apple has further exacerbated the channel conflict by selling direct to consumers via its website.