Disintermediation

What is Disintermediation? Based on the definition from Techopedia, "Disintermediation cuts out the middleman. By using the Internet, companies and even manufacturers can deal directly with users or end consumers, which is a significant factor in decreasing the cost of servicing customers. The high market transparency often enables the buyers to pay less as they deal directly with the manufacturer, bypassing the wholesaler and the retailer." In my opinion, can eliminate the intermediary of time, people and distribution channels. By providing customers, partners and employees direct access to information, you can give them full control of the information requested and received. Clearly, if the current ordering procedure of the company include the use of an employee to enter orders, the automation of this process can eliminate human intermediaries.

An interesting fact is that in some cases, the Internet has created the intermediate goods. Mediation is a means of eliminating the middleman: It is an additional mediator to facilitate easier for business. EBay, the online auction house, is an example of intermediate goods. EBay has no products, or goods storage warehouse. Those who want to sell goods to register with eBay. Those who want to buy something on eBay will have to see what items are offered for sale. Without services like eBay, buyers and sellers are very difficult to meet. That's why eBay add for intermediate goods purchasing process.