There are tow types of channels of conflicts in a business organization, horizontal conflict and vertical conflict.
A horizontal conflict refers to a disagreement between two or more channel members at the same level. For example, a paint manufacturer has deals with two wholesalers, each contracted to sell products to retailers in different regions. If one wholesaler decides to extend its operations into the other wholesaler’s region, a conflict will occur.
Vertical conflicts involve a disagreement between two channel members on consecutive levels. for example, if the paint producers discovers that its products are arriving at retail stores later than expected, a conflict might develop between the manufacturer and the wholesaler responsible for shipping to retailers