firm becomes a channel captain because it is the channel member with the ability to influence the behavior of other members.Influence can take four forms,one of which is

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Economic influence is the form of influence that can make a firm a channel captain. A channel member with economic power can leverage its size and market share to direct the behavior of other members, such as setting prices or determining product offerings. Other forms of influence, such as stakeholder position or familial ties, might be relevant factors in channel dynamics, but they are not necessarily the determining factor in appointing a channel captain. Longevity in the industry or geographic proximity to the manufacturing plant may also confer advantages, but they would not necessarily make a firm a channel captain based on their own.

Firm Becomes a Channel Captain Because It Is the Channel