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disintermediation |
Also found in: Financial, Encyclopedia, Wikipedia | 0.01 sec. |
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disintermediation [dɪsˌɪntəˌmiːdɪˈeɪʃən] n (Economics, Accounting & Finance / Banking & Finance) Finance the elimination of such financial intermediaries as banks and brokers in transactions between principals, often as a result of deregulation and the use of computers disintermediation an economic phenomenon of the late 1970s and early 1980s in which investors, flnding that conventional savings and thrift methods did not pay sufficient interest to keep pace with inflation, transferred their funds to the money market and related savings and investment instruments, leading to a rapid growth in those resources and a loss of funds from institutions like savings banks. See also: EconomicsWant to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit the webmaster's page for free fun content. |
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The rise of the cybermediary has changed the focus of the debate from intermediation versus disintermediation to include the possibility of reintermediation with technology-savvy firms displacing traditional distributors as intermediaries (Chircu and Kauffman 1999; Palvia and Vemuri 1999; Bakos 2001; Rabinovich 2004). The e-marketing strategic themes of personalization and customization, community, reintermediation, disintermediation, consumer tracking, enhanced customer service, and mixing bricks and clicks can be affectively applied to the challenges of providing e-learning services (Granitz & Greene, 2003). With the Internet, firms may attempt to establish a more focused customer orientation as well as alter the industry value-chain through disintermediation or reintermediation. |
Reintermediation |
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