Question

A recent innovation by amazon, the vendor flex program, seeks to lower overall transportation costs but also creates new forms of channel conflict with competitors. as a partner in the vendor flex program, p&g agreed to allow amazon to build fulfillment centers within p&g's own warehouses, thus helping to eliminate some of the costs of transporting p&g's products to amazon's fulfillment centers. believing that the program was giving its competitor amazon an unfair advantage, target reacted vigorously, moving all p&g products from prominent end-cap positions in its stores to less prestigious and less visible locations. target also stopped using p&g as its primary source of advice for planning merchandising strategies within each category. this is an example of ____________ channel conflict.

Answer 1

This is an example of sales channel conflict