Abstract
The concept of a ‘natural’ development in channel structure underlines many of the economic approaches to channel theory. It can be seen in the concept of the life-cycle applied to the firm’s channels (Baker),1 or the view that channels reflect the stage of economic development of a country (Wadinambiaratchi).2 Bucklin3 proposed that, in the long run, the members of the commercial channel will be driven to providing desired consumer services at the minimal cost possible, and that this will come about because of competition. This suggests that market forces in a competitive economy are the principal shapers of relationships. At the level of the firm the channels are influenced by the development of the firm or the product, as suggested by Guiltinan.4 This supposes that perfectly competitive markets can be found in the economy.
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© 1983 Michael J. Baker and The Macmillan Press Ltd
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Baker, M.J. et al. (1983). Channel management. In: Marketing. Macmillan Studies in Marketing Management. Palgrave, London. https://doi.org/10.1007/978-1-349-06853-1_10
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