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Disintermediation

Overview #

Disintermediation is the removal of intermediaries in economics from a supply chain, or cutting out the middlemen in connection with a transaction or a series of transactions.

Examples#

Instead of going through traditional distribution channels, which had some type of intermediary (such as a distributor, wholesaler, broker, or agent), companies may now deal with customers directly, for example via the Internet. Hence, the use of factory direct and direct from the factory to mean the same thing. A manufacture Selling cars direct to consumers.

More Information #

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