|
Intermediation |
 |
| 
|
The Internet has created intermediation. Intermediation is the opposite of disintermediation: it is the adding of an intermediary to facilitate business. Ebay, the online auction house, is an example of intermediation. Ebay has no product, stock, or inventory. People with something to sell register their item with Ebay. People interested in buying a product go to the Ebay site to see what products are for sale. Without a service like Ebay, it would be very difficult for buyers and sellers to come together. E-bay adds an intermediary to the process of buying and selling goods.
Business have also been served by Intermediation on the Internet. Most industries have Intermediaries. Traditionally this has consisted of a network of people who call each other inquiring or fulfilling the needs of special orders. With the Internet this middleman process can be made more efficient. Now businesses can post their need to a site that specializes in their industry. Companies with an overstock or odd size lot can post this information to an Industry intermediary. All businesses can view these postings and fulfill requests. This process makes for more efficient business.