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Minimising Conflict in Concurrent Channels: Solico Groups Case Study

Karimi, Saman | 2011

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  1. Type of Document: M.Sc. Thesis
  2. Language: Farsi
  3. Document No: 42170 (44)
  4. University: Sharif University of Technology
  5. Department: Management and Economics
  6. Advisor(s): Najmi, Manouchehr
  7. Abstract:
  8. Increasingly adopting of multiple channels by companies in order to achieve greater market coverage and more sale, has made managers to deal with a new challenge of avoiding conflict in multiple channels. The importance of the issue and lack of empirical research provided motivation to study approaches to minimize multiple channel conflict and explore how they reduce conflict. Therefore a qualitative study using a single case (Solico Group) was conducted. After reviewing the literature 7 approaches were identified to minimize multiple channel conflict: Superordinate goals (goals that achieving them requires efforts and resources of more than one channel), Brand (using products with different brand names for different channels), Product version (using different versions of products for different channels), Economic compensation (compensating channels for their positive role in sales of other channel), Terms of trade (different terms of trade for different channels), Institutional approaches (conflict preventing mechanisms such as mediation or relational norms) and Communications (clearly communicating each channel's roles and tasks). Five of the mentioned approaches (brand, product version, terms of trade, institutional approaches and communications) were used in Solico Group. The results show that these approaches are successful in reducing conflict based on some conditions. Market segmentation, customer type and the manufacturing ability of the company in producing different products for different segments, effect brand and product version approaches in reducing conflict. Institutional approaches are also successful in reducing conflict based on using them before conflict become infected with hostile behavior. And finally Market segmentation based on terms of trade and roles and tasks of channels effects terms of trade and communication approaches in reducing conflict.

  9. Keywords:
  10. Distribution Channels ; Multiple Channels ; Conflict ; Reducing Conflict

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