Business Models and Intermediation Strategies: A Report

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ASSIGNMENT
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Contents
Que. 1...............................................................................................................................................3
Que.2................................................................................................................................................4
References........................................................................................................................................5
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Que. 1
Disintermediation is the term that is used in the marketing term which means that it is a market
practice where there has been a reduction in the use of middleman or intermediate between the
manufacturer and consumer (Fang et al., 2015). On the other hand, reintermediation refers to the
involvement of the middleman or intermediate between the manufacturer and consumer.
In the context of the market, both disintermediation and reintermediation can take place
concurrently in the market due to several reasons such as:
With the help of disintermediation, the producer of the product will be able to control the price
hiking in the market. On the other hand, reintermediation can hike prices with the help of the
middle man by selling the product (Viljoen et al. 2015).
Disintermediation makes the producer compete with each other while offering the same product
in the same market as there is no involvement of middleman and reintermediation also makes the
produce competitive (Fang et al., 2015).
With the help of this argument, it can be said that disintermediation and reintermediation can
happen at a similar time in the market.
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Que.2
A business model refers to designing the product and service, the flow of information and
description of the business actor with their roles and benefits of these actors with the sources of
revenue. The revenue model is something that specifically describes the various techniques and
sources through which the income can be generated (Linder and Williander, 2017).
An intermediary site called FT.com provides the subscription to digital technology to the
businesses. This site has helped to build the business online for an advertisement agency, where
it has its rate card price based on the number of its ads shown to the site visitors (Dempsey and
Kelliher, 2018).
The site FT.com is the digital technological site that provides access to the online media and
advertisement through which a business can generate a new business model and it can earn
revenues with the charges.
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References
Dempsey, D. and Kelliher, F., 2018. Recurring Revenue Model in Practice. In Industry Trends in
Cloud Computing (pp. 139-183). Palgrave Macmillan, Cham.
Fang, L., Ivashina, V. and Lerner, J., 2015. The disintermediation of financial markets: Direct
investing in private equity. Journal of Financial Economics, 116(1), pp.160-178.
Linder, M. and Williander, M., 2017. Circular business model innovation: inherent
uncertainties. Business strategy and the environment, 26(2), pp.182-196.
Viljoen, K., Roberts-Lombard, M. and Jooste, C., 2015. Reintermediation strategies for
disintermediated travel agencies: a strategic marketing perspective. The International Business &
Economics Research Journal (Online), 14(3), p.561.
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