Buyers are transforming their relations with suppliers. For examples, Instead of playing off dozens or even hundreds of competing suppliers against each other, many firms are finding it more profitable to work closly with only a small number of ＂partners＂. If will facilitate a move from single-supplier arrangements(＂hierachies＂) to mutiple supplier arrangement(＂markets＂) because it reduces the costs of coordination with suppliers. According to this logic, Technological developments which lower the cost of acquiring information about prices and product characteristics in a given market should increase to the nymber of tends to lower coordination costs, it wide adoption should lead to an increase in the number of suppliers for most firms, other things being equal. An efficient merket is defined a one that reduces the numer of intermediaries, or the number of Intermediary steps necessary of market tracsaction. It is true that one can order some products via mail order, which reduces the number of intermediaries and cuts transaction costs further Similary, the growth of a global commerce nerwork such as the internet may futher reduce the number of intermediary steps necessary for trade.