Abstract

The study aims at a question, that is, how a manufacturer can utilize various power sources in the channel system, and meanwhile hoping that both the manufacturer and distributor can negotiate all together frankly to enhance functional conflicts by means of the influence on channel climate caused by functional channel conflicts and hence, strengthening mutual trusts and maintaining a long-term relationship continuity, so that it will be able to achieve a win-win situation along with an improved entire channel performance thereto. Due to the increasing market demands for the flash memory, in order to acquire a high profit rate, therefore, it is necessary for a manufacturer to cooperate closely with a distributor and developing full channel functions to create required performance. This study has constructed a theoretical framework of channel relationship, focusing on the study object of NAND Flash channel distributor in Taiwan, where we are introducing the functional conflicts into the channel field, and then probing into the channel conflicts between the manufacturer and distributor as well as the influence on the channel performance caused by the channel climate with LISREL linear structural model through questionnaires. It is found that there are significant positive influences on the channel conflicts caused by both the economic and non-economic powers. Additionally, there is a positive influence upon the channel climate resulted from the channel conflicts as well. Moreover, there are positive influences on the channel performance caused by both the channel conflicts and channel climate.

Key words: Power source, channel conflict, channel climate, channel performance.