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Essay / Research Paper Abstract
This 35 page paper looks at intermediation sectors in the United States. The history of intermediation is discussed. The financial and automotive industries are highlighted. The effects of the Internet on the sector as well as the trend toward disintermediation are also discussed. Bibliography lists 23 sources.
Page Count:
35 pages (~225 words per page)
File: RT13_SA223USA.rtf
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Unformatted sample text from the term paper:
man was usually warranted whenever business transactions ensured. Trade relationships in earlier centuries required that someone buy and ship and resell items and there were few times in history, in
fact, where a product or service was created and sold directly. Of course, much depends upon the industry and even today, there are instances when intermediation is not required. There
are people who sell their art work on the street, or sing for pennies or perhaps sell services such as baby-sitting, but by and large, big business is reliant on
intermediation sectors. No industry is more obviously entrenched in intermediation than the financial sector. The automotive sector is also a good example of a place where intermediation flourishes. Despite the
popularity, and necessity of the middle man, the advent of the Internet has changed things for those involved in certain applicable businesses. For example, car sales has notoriously relied on
middle men for both new and used product. Yet, today, with the help of the Internet, new car sales are conducted directly from manufacturer to purchaser, something never done in
the past. Similarly, new and used car intermediaries have sprung up online and this in fact has created more middle men in the process. The goals of intermediation are
varied. Sometimes they involve specialization in production. For example, in the automotive industry, parts manufacturers are more specialized institutions and so, one can say that to a great extent, they
produce a higher quality of goods. The intermediation sectors in the automotive industry are varied, and while that is the case, it creates a scenario where the industry runs like
a well oiled machine, much like Fords original factory and a Fordism mentality permeates the intermediation sectors. Transportation costs and other overhead costs such as the hiring of additional employees,
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