This paper argues that the paradigms of price, hierarchy, and relationalism lose much of their explanatory and predictive power and become difficult to interpret in midrange relationships. The need for domain-specific middle-level theories and conceptual frameworks is highlighted and an exploratory middle-level conceptual framework is developed and presented. It takes a managerial approach and examines the mechanisms of governance and their consequences in the context of multiple traditional channels of distribution. The authors suggest that consideration of the specific design and implementation of exchange structures has possible general theory implications. First, they suggest that creative Grafting of managed competition and cooperation in external exchange is an alternative to markets, hierarchy, and relationalism. Second, commitment and trust are interpreted as consideration given to seal a contract.