Section 1.3 in Chapter 1 introduces the concept of channel out, specific Figure which reproduces Figure 1.2). discussion points participate As that and may not a members may specialize in performing one or more flows to remove but at all in the performance of other flows. Further, it may be tempting channel ticular channel member from the channel (ie.. change the channel a flows performed by that channel member cannot be When other member is removed from the channel, its functions n to be shifted to some excep channel member to preserve service output on in the channel. The only flows tion to this rule would occur if the eliminated channel member were performing to that already being performed elsewhere in the channel, so that its contributions an service output provision were redundant and hence unnecessary. For example, on salesperson and an independent distributor sales representative might call the same customer, resulting in wasted effort and cost. The channel better off using one or the other, but not both, salespeople in this case outputs bu Every flow contributes to the production of valued service also carries an associated cost. Figure 3.1 gives examples of the channel refers ating activities associated with each flow. For instance, physical possession