Should Rosetta Stone consider other channels of distribution? Solution Yes. The more distribution channels has Rosetta Stone, the less bargaining power they will have. Channels of distribution push for a greater fraction of sells, that is why a diversity of those channels would favor Rosetta Stone, because for the channels of distribution, the market of selling Rosetta Stone products would become more like a perfect competion environment. See more in: William A. McEachern (2009). Economics: A Contemporary Introduction. South Western Cengage Learing. Page 175..