ABSTRACT
Due to rapid innovations in the field of information and communication technologies (especially the Internet), prominent and gradual changes are taking place in the business architecture in general and distribution channel structure in particular. The Internet has already given place to a process of disintermediation and reintermediation resulting in the transformation of distribution systems with various degrees of flexibility, complexity and requirement. The focus of this chapter is to identify the extent of the transformations in the traditional channel structure due to the addition of digital value. It proposes a strategic framework for adoption of various Internet-based distribution systems based on four broad dimensions, namely product characteristics, consumer sensitivity towards purchase decision, role of intermediary and distribution profile of the enterprise.
