Individual channel members are often more concerned with their short run goals, leading to channel conflict. HORIZONTAL conflict occurs among firms at the same level of the channel. Vertical conflict occurs between different levels of the same channel.
Channel conflicts are common when the market size is limited and all channel members TRY to CONCENTRATE on the same market and customers. Sometimes differential pricing policy of organization also results in conflict among channel members.

Individual channel members are often more concerned with their short run goals, leading to channel conflict. Horizontal conflict occurs among firms at the same level of the channel. Vertical conflict occurs between different levels of the same channel.
Channel conflicts are common when the market size is limited and all channel members try to concentrate on the same market and customers. Sometimes differential pricing policy of organization also results in conflict among channel members.