Mitigating Channel Conflict
Source: McKinsey & Company
Inspired by the rapid growth of Internet sales, many technology vendors are opening their own direct channels. The paper depicts that by doing so; however, they risk their existing partners, who see Web sales as a threat to revenues. While manufacturers shouldn't ignore their partners' complaints, neither should they be hamstrung by this opposition. Instead, manufacturers should reevaluate each partner to assess the relationship's importance. This brief article reviews how one company handled a critical business problem.