Question: Bill Schwartz the owner of Newvalue Supply a medium sized wholesaler
Bill Schwartz, the owner of Newvalue Supply, a medium-sized wholesaler of plumbing supplies, was furious. He had just gotten off the phone with the sales manager of Jefferson Industries, the manufacturer of a very profitable line of high-quality faucets that Newvalue had been selling for several years. “That SOB is now going to start selling the big home center accounts directly,” fumed Bill Schwartz to his son Paul. “We’ve worked real hard to establish this line and then, when it finally gets going with some real volume, Jefferson wants to cut us out,” he continued. Discuss the possible underlying causes of the conflict that seems to be emerging in this situation.
Answer to relevant QuestionsAmoco, one of the nation’s largest oil companies, has been forcing a number of its independent service stations to convert from full-service stations offering repair service to convenience stores or “gas only” ...How does channel strategy relate to marketing strategy? Should a firm automatically dismiss distribution in formulating its long term corporate objectives and strategies? Milwaukee is a famous name in industrial quality power tools. Its products are renowned for their rugged design and reliability. Most of its products are sold through wholesalers (industrial distributors) to a wide variety ...Discuss the role of channel design in the quest to gain differential advantage.
Post your question