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23 download_doc-1.php - Class 11 I. Value delivery networks...

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I. Value delivery networks a. Definition i. The network made up of the company. Suppliers, distributors, and ultimately customers who “partner” with each other to improve the performance of the entire system in delivering customer value II. Dis-intermediation versus channel evolution (innovation) a. Dis-intermediation i. Taking out the middle man ii. The power today resides with the entity that “owns” the consumer iii. Occurs when one VDN partner assumers the role of another 1. The rise of walmart put many wholesalers out of business iv. Can often cause channel conflict → who should do what and for what rewards 1. Horizontal conflict a. Occurs among firms at the same level 2. Vertical conflict a. Conflicts between different levels of the same channel i. More common than horizontal conflict b. Channel evolution i. Innovation in the method of value delivery III.Evolving roles in the VDN → who does what? a.
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This note was uploaded on 04/18/2011 for the course BUS 370 taught by Professor Camp during the Fall '09 term at Indiana.

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23 download_doc-1.php - Class 11 I. Value delivery networks...

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