Individuals can now lend money directly to other individuals, bypassing the bank entirely. In a direct marketplace, the onus shifts to the consumer to evaluate the credibility of the seller.
Booking Direct: Understanding Disintermediation on Airline Websites
This requires new capabilities and infrastructure, which can be a heavy burden for smaller businesses. In the context of business and finance, this often means cutting out the middleman who previously facilitated exchanges between producers and consumers.
The Double-Edged Sword While the benefits of disintermediation—such as lower prices and greater control—are significant, they introduce new complexities. This has led to the rise of review systems and reputation scores, which act as a digital substitute for the trust formerly provided by the removed party.
Booking Direct: The Disintermediation Shift in Airline Distribution
This removal is usually driven by technology, allowing two parties to connect directly, thereby reducing costs and increasing efficiency. These layers added time and cost to the final price.
More About What does disintermediation mean
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More perspective on What does disintermediation mean can make the topic easier to follow by connecting earlier points with a few simple takeaways.
