When a producer has a conflict with its wholesalers, the producer is experiencing_________ conflict.
A) vertical channel
B) direct channel
C) single channel
D) horizontal channel
E) multichannel

Question

Quizplus · Accepted Answer

Vertical channel conflict occurs between different levels of the same channel of distribution, such as between a producer and its wholesalers or retailers. In this case, the conflict is between a producer and its wholesalers, making A the correct choice. Direct channel conflict occurs between a manufacturer and its direct customers (e.g. a manufacturer selling directly to consumers), single channel conflict occurs within the same level of a distribution channel, horizontal channel conflict occurs between companies at the same level of distribution (e.g. two wholesalers), and multichannel conflict occurs when a company uses multiple channels to distribute its products and experiences conflict between them.

When a Producer Has a Conflict with Its Wholesalers, the Producer