Abstract: Based on social network theory and the literature of marketing channel behavior, this paper examines the impact of distributors’ “banding together” (represented by network density) on the behaviors of manufacturer and their consequences, and tests the moderating effects of industrial environment uncertainty. The results show that, first, network intensity of grouped distributors positively affects information favoring and contract supervision of manufacturers; second, industrial environment uncertainty weakens the positive effects of network density of grouped distributors on information favoring of manufacturers, but has no significant impact on the relationship between network density of grouped distributors and contract supervision of manufacturers. Third, information favoring of manufacturers in turn declines the level of channel conflict, and inhibits opportunism of distributors, while contract supervision of manufacturers in turn inhibits opportunism of distributors, but has no significant effect on channel conflict.

Key words: network intensity, information favoring, contract supervision, channel conflict, opportunism