Buy custom Arrow electronics - Gaining new business
Essay's paper info
| Topic: |
Business
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| Number of pages / Number of words: |
6 / 1512 |
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There is a very clear threat of disintermediation of Arrow electronics as a distributor with this model as consumers (OEM’s) might be tempted to use Express’s web site as a shopping portal for the lowest price that distributors can offer. This would cut down Arrow ‘s profit as an intermediary and undermine the very value proposition that Arrow electronics presents to it’s customers...
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This would cut down Arrow ‘s profit as an intermediary and undermine the very value proposition that Arrow electronics presents to it’s customers.
On the surface, the advantages offered by signing on with Express Parts Inc might sound very tempting. Arrow would then potentially be able to get new customers in markets that it does not currently serve; part of the promotional responsibilities would fall on Express, there might be a potential reduction in inventory and logistical costs and Arrow could gain information on parts from other distributors...
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