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Question:

What is Channel compression and Channel expansion?

Author: Christian Rasmussen



Answer:

• ‘Channel Compression ’ (disintermediation) is removal of middel men, allowing producers to sell directly to consumers. • ‘Channel Expansion (Reintermediation) is the reintroduction of a middleman between a supplier and a customer. This term, the opposite of disintermediation, can be used in several contexts within finance.


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