Conflict, Cooperation and Competition
Channel conflict is generated when one channel member’s actions prevent another channel member from achieving its goal.
On the other hand, channel coordination occurs when channel members are brought together to advance the goal of the channel, as opposed to their own potentially incompatible goals.
There are three pertinent issues to be examined here: Types of Conflict and Competition, Causes of Channel Conflict and How to Manage Channel Conflicts.
Case 1: Apple Inc Channel Conflict
In 2003, an Apple reseller, Tom Santos, filed a lawsuit against Apple Computers Inc. . The court case alleged Apple of showing undue preference to its own Apple retail and online stores. The lawsuit claimed that
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Another common conflict reason is pre- and post-sales support; that is, marketing channels argue over who should do it, how it should be done, and how they should be compensated. A further conflict reason is inventory, since suppliers often consider it a reseller’s duty to carry a large inventory, while resellers instead want to be restocked quickly from a central location.
* Difference in Perception: Even though individual goals within the marketing system may correspond with each other, and domains may be well defined, channel conflict still may occur, due to differing perceptions of reality, i.e. channel members having conflicting perceptions of the same situation. This is an important source of conflict, because it indicates that there will be differing actions in response to the same situation, something that will frustrate channel members and produce conflict. One major reason for such misperception is that different channel members are exposed to varying information and influences, giving them different pieces of the overall picture. In order to achieve needed coordination among channel members, good communication within the channel is necessary. Too much communication is just as bad as too little, since too much contact can overload channel members and have dysfunctional consequences. Therefore, one should examine communication in terms of the amount of contact in relation to the amount of contact necessary to conduct activities
Whether you work for a manufacturing facility or the health care system, conflict is unavoidable. As a manager, you must learn to deal with conflict in the workplace. In this paper I will describe the different styles of conflict management. I will also discuss my preferred conflict management style with examples of its use. Lastly, I will describe a situation at work and how a conflict management strategy could have improved that situation.
This paper is intended to shine a light onto distribution channels, both direct and indirect, as well as, provide a better understanding of channel levels. It will also deal with the different channel organizations, including conventional, horizontal, vertical and multichannel marketing systems.
What is conflict? Even something as basic as a universal definition for the word conflict seems to vary from source to source. A literature review focusing on conflict defined it as “the interaction of interdependent people who perceive incompatibility and the possibility of interference from others as a result of this incompatibility” (Brinkert 2010). Often times the disagreement results not from a concrete difference, but rather a difference in perception (Ellis & Abbott 2012). One of the most important factors effecting conflict management is the resolution style used. The most often used tool for classifying how conflict is managed is the Thomas-Kilmann Conflict Mode Instrument (Iglesias & Vallejo 2012).
Effective communication system through out the value chain. Installation and implementation of Information Technology system E.G Emails and SAP instead of memos . All channels (distributore, retailer etc) should be acknowledged about company’s cultures and values. Adequate meetings and trainnings are crucial for effiective channel management. 3. Relationship Marketing NFG should create strong bonds and trust between all of its stakeholders; channels, customers, partners. This can be done by improving transparency between each party and implementing a CRM programs. Therefore, stakeholders will not hesitate to share their problems with the company when it arises and everybody will be willing to create and promote a WIN-WIN solution for all. 4. Performance Marketing Sales Revenues are set
4 possible sources of conflict could be the individual themselves, family or friends, colleagues or policies.
When examining these issues, it’s possible to determine which conflict that is being dealt with by looking at the cues that are provided. These cues include end goals related to the conflict, flexibility, and the interests of the parties involved within the conflict. Realistic conflict involves issues that can solved when party are willing to work towards a common goal, and nonrealistic conflict occurs when they are trying to win. Nonrealistic conflicts will consist of less flexible parties, and are best handled with fore or coercion to reach an end goal. This will stop the conflict from escalation or being all together avoided by the members involved. Conflicts that are readily identified can be controlled, and the best solutions can be
Conflict is “an expressed struggle between at least two interdependent parties who perceive incompatible goals, scarce resources, and interference from others in achieving their goals” (Hocker, 1991). There are two basic types of conflicts: substantive and emotional. According to Schermerhorn et.al., substantive conflict is a fundamental disagreement over ends or goals to be pursued and the means for their
Communication in marketing channels can serve as the process by which influential information is conveyed, shared decision making is encouraged, programs are created, power is put into effect and commitment and loyalty are built. Communication is the bond that holds together channels of distribution. Marketing communication builds awareness of a business, its products and the business’s position through customer interaction materials such as brochures, press releases, web sites and other forms of direct, indirect and interactive marketing. Marketing communication represents the “voice” of the brand and is one way to establish a dialogue and build relationships with consumers (Kotler & Keller, 2007, p. 279). Altadena Computer Company must have an in-depth understanding of the company’s target audience and the process of buying, selling, and communicating to customers.
Level I conflict occurs when a group member has a problem with the facts or data that is presented to the group. Sometimes this is because the data is incomplete, while other times group members do not see the data the same way,
2. What are the issues involved in these situations? How are they best addressed by the decision makers?
Dues (2012, p10) also states that “in task-orientated groups with shared goals, most conflict arises over how to achieve the goals” These are called procedural conflicts (Fisher and Brown, 1989) There is a procedural conflict here, which is all procedural options were considered there may be one which satisfies both parties, rather than the person with
The text book describes conflict as “a process that begins when one party perceives another party has or is about to negatively affect something the first party cares about.” There are different views on dealing with conflict. There is the traditional view that seeks to eliminate any conflict and the interaction group that seek to use conflict as a stepping stone to greater things. Conflict can arise in any situation and, following the managed conflict view, it is not necessarily something to be push under the table but something to
The five antecedents of conflict are the “overlapping or unclear job boundaries, inadequate communication, unreasonable or unclear policies standards or rules, unreasonable deadlines or extreme time pressure, and competition for limited resources” (Kinicki A. Kreitner R.2008 p. 277).
“Marketing communication is an ever changing field. New theories, new techniques, cultural changes and technological advances all combine to create a dynamic environment within which marketers try to ensure that their messages get through to their target audiences” (Blythe, 2006, p.2). Fill (2005) argues that marketing communications is the way in which organisations reach their target audiences or it is an “audience-centred activity” (Fill, 2005, p.9).
Identifying the underlying causes of this widespread conflict is important as it allows management to determine what resolution approach to take. The causes of this conflict will generally fall into two broad categories, collective and individual reasons (Deery et al. 1998).