Changes in technology and the explosive growth of direct and online marketing are having a profound impact on the nature and design of marketing channels. One major trend is toward ________ insofar as product or service producers cut out intermediaries and go directly to final buyers or when radically new types of channel intermediaries displace traditional ones.
A) intermediation
B) disintermediation
C) vertical marketing systems
D) horizontal marketing systems
E) corporate vertical marketing systems

Question

Quizplus · Accepted Answer

The trend described in the statement is called disintermediation. This refers to the elimination of intermediaries in a distribution channel, often due to the use of technology and direct-to-consumer marketing. Therefore, the correct answer is B) disintermediation. The other options are not relevant to the described trend.

Changes in Technology and the Explosive Growth of Direct and Online