What are the dynamics of channel relations? How do channel members in a marketing channel align themselves? In this simulation, participants discover what makes channel entities powerful, how they leverage this power and what for. This is a negotiation simulation for the classroom in which participants learn through role-playing and observations. Participants are formed into teams of manufacturers and retailers. The manufacturer and retailer are negotiating to set up a marketing channel and are discussing the terms and conditions for this. They are provided data to infer their relative strengths/weaknesses vis-à-vis the party with which they negotiate and use this in their negotiations. The number of pairings can vary depending on class size.