A historical survey concerning marketing middlemen as producers of value

Abstract

PurposeThe purpose of this paper is to trace from ancient Greek scholars to the mid‐1950s the sentiments of two schools of economic thought on the role of marketing middlemen or intermediaries. One school disclaims any addition of value through middlemen's activities; the second maintains that marketing adds value.Design/methodology/approachThis paper was originally a chapter in the author's doctoral dissertation titled “Value added as a measure of economic contribution by marketing institutions” at Ohio State University. It is reprinted here to explore and add insight to other work by and about the author in this issue of the journal. A brief historical analysis of writings by ancient Greek scholars, mercantilists, physiocrats, classicists, neoclassicists, and twentieth century dissenters, is presented.FindingsMarketers add value and, in so doing, are productive. However, earlier scholars did not distinguish between measures of value added and measures of productivity and efficiency.Originality/valueWhile other marketing historians have covered much of this literature since the time of its original writing, it was in 1957 among the earliest such work by marketing scholars. As mentioned above, this paper explores and adds insight to other work by and about the author in this issue of the journal.