What is an Intermediary?

What is an Intermediary?

What is an Intermediary? Jonathan Poland

An intermediary is a person or organization that acts as a go-between or intermediary for two or more parties in a transaction. Intermediaries can facilitate transactions by providing information, expertise, or other services that enable parties to engage in a successful transaction. They can play a variety of roles, including facilitating communication, providing advice and guidance, negotiating terms, and helping to ensure that the parties involved are able to fulfill their obligations.

Examples of intermediaries include brokers, agents, distributors, wholesalers, and other middlemen who facilitate transactions between buyers and sellers. In some cases, intermediaries may take on a more active role, such as by purchasing goods or services on behalf of a buyer and then reselling them to the buyer at a higher price.

Intermediaries play an important role in facilitating transactions and enabling parties to engage in successful business relationships. By providing information, expertise, and other services, intermediaries can help to ensure that transactions are completed smoothly and efficiently. Here are some examples.

Business Intermediary

A business intermediary plays some role in a business transaction. For example, a trading house that imports goods into Singapore on behalf of a German manufacturer.

Broker

A broker represents the interests of a party in a commercial transaction. For example, a real estate broker that represents the seller of a property.

Agent

Like a broker, an agent represents the interests of a party. The term agent is applied to an individual professional and broker is applied to an organization that represents the interests of parties. For example, a literary agent who represents the interests of a writer.

Middleman

Middleman is a term for business intermediaries who sit in the value chain between the producer and consumer. For example, a vegetable wholesaler who buys vegetables from farms and sells them to restaurants and retailers.

Supply Chain

Supply chain intermediaries are any firm that are involved in physically delivering goods to the consumer. For example, a freight forward company that handles the logistics of delivering solar panels from Vietnam to Canada.

Marketing Intermediary

A marketing intermediary is any firm that is involved with marketing a good including distribution, sales and promotion. For example, a car dealership that closes sales on behalf of a car manufacturer.

Channel Intermediary

Channel intermediary is another term for marketing intermediaries that are involved in distribution. For example, a farmers cooperative that sells agricultural goods to wholesalers on behalf of hundreds of farms.

Markets

Markets that provide a venue for buying and selling.

Go-Between

An informal term for anyone who facilitates a process for a fee. For example, a mediator who helps to negotiate a solution to a dispute.

Internet Intermediary

An internet intermediary is any firm that helps people to use the internet including connectivity, search, social media and publishing platforms such as a video sharing site or blogging tool.

Platforms

Platforms are digital environments that allow firms to develop and distribute systems, applications and media. For example, a platform that allows firms to develop and deliver mobile apps.

Types of Infrastructure Jonathan Poland

Types of Infrastructure

In an industrial economy, the production of tangible goods and infrastructure plays a central role. This type of economy has…

Competitive Markets Jonathan Poland

Competitive Markets

In a competitive market, multiple participants exchange value without any single entity having control over the market. This type of…

Systematic Risk Jonathan Poland

Systematic Risk

Systemic risk is the risk that a problem in one part of the financial system will have broader impacts on…

Added Value Jonathan Poland

Added Value

The total combined industries of consumer goods and services.

Pricing Techniques Jonathan Poland

Pricing Techniques

Pricing involves carefully considering various factors in order to determine a price that will maximize a company’s profits over the…

Cost Benefit Analysis Jonathan Poland

Cost Benefit Analysis

Cost-benefit analysis (CBA) is a systematic approach to evaluating the costs and benefits of a project, program, or policy to…

Management Levels Jonathan Poland

Management Levels

A management level is a layer of accountability and responsibility in an organization. It is common for organizations to have…

Marketing Campaign Jonathan Poland

Marketing Campaign

A marketing campaign is a coordinated series of marketing efforts that promote a product, service, or brand. The goal of…

What is FOMO? Jonathan Poland

What is FOMO?

Fear of missing out, also known as FOMO, is a type of motivation that is driven by a fear of…

Learn More

Quality Goals Jonathan Poland

Quality Goals

Quality goals are specific targets that are set to improve the quality of a product, service, or process. They are…

What is Demand? Jonathan Poland

What is Demand?

Demand refers to the quantity of a particular good, asset, or other value that market participants are willing and able…

Customer is Always Right Jonathan Poland

Customer is Always Right

The principle that “the customer is always right” is a widely used guideline in the business world to guide customer…

Customer Needs Anlaysis Jonathan Poland

Customer Needs Anlaysis

Customer needs analysis is the process of identifying and understanding the needs and wants of customers in order to develop…

Sales Goals Jonathan Poland

Sales Goals

Sales goals are targets for the revenue or units sold that a sales team or individual is expected to achieve…

Innovation Objectives Jonathan Poland

Innovation Objectives

Innovation objectives are aims to significantly improve something through the use of experimentation, risk-taking, and creativity. These goals tend to…

Information Security Jonathan Poland

Information Security

Information security is the practice of protecting information from unauthorized access, use, disclosure, disruption, modification, or destruction. It is a…

Strategic Risk Jonathan Poland

Strategic Risk

Strategy risk refers to the potential for losses resulting from the implementation of a particular strategy. All strategies carry some…

Sales Pipeline Jonathan Poland

Sales Pipeline

A sales pipeline is a visual representation of the sales process, from the initial contact with a potential customer to…