Disintermediation

Knowledge Center

What is Disintermediation? Meaning.

Disintermediation is the removal (or obsolescence) of an intermediary role in the value chain between manufactures and consumers. For example:

• The classic disintermediation of computer retailers and resellers by PC-manufacturer Dell through selling direct to end users via the Dell website.

• An airline selling tickets direct to the public over the internet, thus cutting out the travel agent in the selling process.

• Amazon for books and CDs.

Major advantages of disintermediation are lower cost for the end consumer, plus shopping-convenience for the consumer who does not want to leave home.

Typical intermediaries in the value chain include: distributors, wholesalers, brokers, agents, resellers and retailers.

Forum   Forum about Disintermediation. 🔥 NEW Quotes on Disintermediation. Quotations Hi, do you know of a remarkable, humorous quote by a famous person or a proverb related to disintermediation?Please ente (...) 2   1 reactions

Compare with: Bricks and Clicks  |  Just-in-time  |  Virtual Business  |  TDC Matrix  |  4S Web Marketing Mix  |  Twelve Principles of the Network Economy  |  Disaggregation  |  E-Business  |  Industry Attractiveness

Return to Management Hub: Strategy  |  Supply Chain & Quality

More on Management  |  Return to Management Dictionary  | 

This ends our Disintermediation summary and forum.