This article describes a framework for manufacturers to predict the level of channel conflict that they will probably experience based on channel design, channel policies and differences from their resellers in key factors. Three levels of conflict are described and different management approaches are suggested for high and low levels of potential conflict.

Competing models (the supplier offering and relationship management models) were tested in a maintenance, repair, and operating supplies purchasing environment to examine which better predicted customer satisfaction, trust, and supplier partnering attractiveness. These models were also tested against a combined model to see if the more comprehensive model improved prediction. The results provide evidence that relationships may be more important than the variables frequently investigated in the organizational buying behavior literature relating to supplier choice.

This article describes the cheating that occurs among members vertically aligned in channels of distribution, the reasons behind this behaviour, the cost, and the solutions that channel partners can adopt in order to reduce the incidence or lower the consequences of their partners cheating in their channel relations.

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