What does reintermediation mean in marketing?
Reintermediation is the reintroduction of an intermediary between a goods producer and consumers. While disintermediation removes elements form the supply chain, reintermediation adds new elements to the supply chain.
What are some examples of reintermediation?
Examples include General Motors Corp. bypassing dealerships to sell cars directly to consumers, and insurance companies skirting their own agents to sell products and services. Reintermediation refers to using the Internet to reassemble buyers, sellers and other partners in a traditional supply chain in new ways.
What is the difference between disintermediation and reintermediation?
Chaffey (2009) defines Disintermediation as “The removal of intermediaries such as distributors or brokers that formerly linked a company to its customers” and Reintermediation as “The creation of new intermediaries between customers and suppliers providing services such as supplier search and product evaluation”.
What is the meaning of Reintermediation?
Reintermediation is the movement of investment capital into secure bank deposits or the reintroduction of a middleman between a supplier and a customer. This term, the opposite of disintermediation, can be used in several contexts within finance.
What is the benefit of disintermediation in e commerce businesses?
Disintermediation Through the Internet E-commerce eliminates the expense of maintaining a physical storefront and might assist the consumer in saving money through lower prices, but delivery charges can nullify any savings.
What does Reintermediation describe?
What is a intermediary business?
Firms in a distribution channel that help a company to find customers or make sales to them. Intermediaries include brokers, agents, dealers, wholesalers, and retailers that buy and resell goods.
How can disintermediation and Reintermediation play a role in improving business performance?
Disintermediation eliminates intermediaries of a supply chain and reintermediation adds new elements to the supply chain. Both events are also an important consideration for organizations in the travel industry such as travel agencies and tour operators.
What is an e commerce transaction?
E-commerce (electronic commerce) is the buying and selling of goods and services, or the transmitting of funds or data, over an electronic network, primarily the internet. These business transactions occur either as business-to-business (B2B), business-to-consumer (B2C), consumer-to-consumer or consumer-to-business.
What is intermediaries and examples?
For example, merchants are intermediaries that buy and resell products. There are four generally recognized broad groups of intermediaries: agents, wholesalers, distributors, and retailers.