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Problem: Define the types of channel intermediaries and describe their functions and activities. The most prominent difference separating intermediaries is whether they take title to the product. Retailers and merchant wholesalers take title, but agents and brokers do not. Retailers are firms that sell mainly to consumers. Merchant wholesalers are organizations that facilitate the movement of products and services from the manufacturer to producers, resellers, governments, institutions, and retailers. Agents and brokers do not take title to the goods and services they market, but they do facilitate the exchange of ownership between sellers and buyers. Channel intermediaries perform three basic types of functions. Transactional functions include contacting and promoting, negotiating, and risk taking. Logistical functions performed by channel members include physical distribution, storing, and sorting functions. Finally, channel members may perform facilitating functions, such as researching and financing.
Question: What kind of marketing channel functions can be performed over the Internet? Why do you think so?
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