Final answer:
Marketing channel performance is essentially assessed by considering how effectively it reaches customers, operates efficiently, and provides quality service, within the competitive context of the market.
Step-by-step explanation:
Marketing channel performance is evaluated based on the operational components of customer reach, operating efficiency, and service quality. These components are directly influenced by the production and cost conditions each firm faces as well as the market structure for their products. Market structure is a multidimensional concept that addresses the competitiveness of an industry and is defined by questions relating to the level of competition, barriers to entry, and the differentiation of products.