Which of these situations most suggests vertical channel conflicts? A department

Question

Which of these situations most suggests vertical channel conflicts?

A department store executive responsible for buying jewelry says the products are not selling because the store's salespeople are not working hard.

A supplier of made-to-order blue jeans for Sears says that Sears salespeople are not good enough to sell non-brand name jeans and that's why the jeans aren't selling. One of three suppliers of jeans to Sears says that the jeans aren't selling at the retail level because one of the other suppliers let some bad jeans be shipped to Sears stores.

The president of Sears calls up the president of Penney's and demands that Penney's stop advertising that Penney's jeans are better than Sears.

Wholesaler A and Wholesaler B are in a price "war" trying to attract business from area hardware stores.

Explanation / Answer

Q. Which of these situations most suggests vertical channel conflicts?

A supplier of made-to-order blue jeans for Sears says that Sears salespeople are not good enough to sell non-brand name jeans and that's why the jeans aren't selling. One of three suppliers of jeans to Sears says that the jeans aren't selling at the retail level because one of the other suppliers let some bad jeans be shipped to Sears stores.

The marketing channels consists of manufacturers - distributors - retailer - consumers.

Vertical integration is the arising of conflicts between two different levels of channels such as between distributors and retailers, manufacturers and distributors etc.

In the above case the conflict arises between suppliers and salesperson because of the low sales of jeans in some place.

Hope that helps :)

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