Vertical Marketing System

Vertical Marketing System Consists of all the levels of independently owned businesses along a channel of distribution.

vertical marketing system
an organized, structured and unified distribution channel system in which producer and intermediaries or middlemen (wholesalers and retailers) work closely together to facilitate the smooth flow of goods and services ...

Vertical marketing systems: a channel of distribution which is viewed as a coordinated whole and is effectively managed or led by one channel member.

see Administered Vertical Marketing System.
cost-oriented pricing in which a firm bases its prices on considerations within the firm rather than on customer considerations.

Sometimes referred to as "vertical marketing systems" this approach makes it more difficult for an individual member to make changes to how products are distributed.

See also: Market, Control, Company, Distribution, Retailer