The Role of Suppliers and Resellers : Cases of Timber Product Distribution Channels

Abstract: This dissertation aims to explain the impacts of distribution channel developments on the roles of timber product distribution channel actors. The role of channel actors in this dissertation is defined as the structured behaviour pattern that combines activities and resources in distribution channels. Three phenomena and their impacts on channel actors’ roles are addressed: (1) shifts in manufacturers’ supply chain position, (2) the changing nature of manufacturing companies’ offerings, and (3) concentrated markets with enhanced resellers. The research builds on case studies focusing on timber product distribution channels. The dissertation consists of an extended summary, six papers, and a grand case description.This dissertation has produced several findings. First, reseller developments have driven changes in the retailer supply chain structure and have placed pressure on manufacturers. Manufacturers’ downstream vertical integration and their move to a total offering approach can be seen as countervailing effects on reseller developments. These effects have result in a new type of role: the integration role, while the significance of the service role has increased. Second, resellers have gained a central position in distribution channels, not only because they are in good position to exploit the clones to customers, but also because their business has extended from being suppliers’ distribution partners to customers’ supply hub.Theoretically, this research contributes to the field of distribution channels by proposing definitions of roles and the roles of channel actors that allows for a better understanding of the dynamics of distribution channels. This research also proposes a distributionsupply view of vertical systems that highlights the roles played by resellers in defining offerings to customers, shaping supply chain structures, and developing and launching new products.