CASE STUDIES
 
 SOLUTIONS OFFERED
 
 THINGS TO NOTE
 
 FREQUENTLY ASKED QUESTIONS


 
 MANAGING TRUSTEE PROFILE
 
 LETTER GALLERY
 
 SMALL TRADER PROBLEMS
 
 THINGS TO DO

 





 


 

THINGS TO NOTE

1] SALES COST :

WHATEVER MONETARY PAY OUT, THE ORGANIZATIONS EXTEND TO DISTRIBUTORS - THEY WILL NEED TO FOREGO AT LEAST THREE TIMES THE AMOUNT, IF THEY EXECUTE SALES OPERATIONS DIRECTLY !!

2] SMALL TRADER IMPORTANCE :

CONTRIBUTE TO (22%) OF GDP & (42,MILLION) IN EMPLOYMENT - CREATING A MILLION JOBS YEARLY. IF THERE SPIRIT IS KILLED - IT WILL HAVE FAR REACHING ADVERSE IMPLICATIONS ON THE ECONOMY OF THE NATION !!


3] BUSINESS EFFORT :

FORMIDABLE RESOURCES IN TERMS OF MONEY & TIME ARE INVESTED TO ESTABLISH THE BUSINESS, WHICH IS, TAKEN AWAY AT WILL, BY PRINCIPAL PARTNERS ON FLIMSY GROUNDS!!

4] INITIAL DISTRIBUTORS :

DISTRIBUTORS WHO WERE INVOLVED IN BRAND ROLL OUT HAD TO CONTRIBUTE MUCH HIGHER LEVEL OF RESOURCES IN ANTICIPATION OF FUTURE RETURNS.

BUT PRINCIPAL BRANDS NORMALLY LEVERAGE THE GOODWILL FOR THEIR OWN BENEFIT, BY TRANSFERRING RIGHTS OF DISTRIBUTION TO NEW ENTITIES, HENCE IN MOST CASES FORCING THE OLD ONES TO RESIGN.


5] DISTRIBUTOR PROFILE : :

BRANDS SCOUT FOR NON EXPERIENCED & NON SUSPECTING ENTITIES, WHO CAN BE CUSTOMISED, DURING THE INITIAL PERIOD OF ASSOCIATION. BY THE TIME THE ENTITY BECOMES AWARE OF THE DISHONEST INTENTIONS OF THE BRAND OWNERS, THE BRANDS ARE READY WITH A BACK UP PLAN UNDER THE SAME MODUS OPERANDI !!


6] NEW TALENT EXPLOITATION :

PROFESSIONAL LIVES OF MANY BUDDING FRESH YOUNG TALENTS IS BEING PUT TO STAKE, WHO GET LURED BY THE CHARM WHICH THE BIG BRANDS OFFER TO DECEIVE AT LATTER STAGES !!


7] SHAREHOLDING :

SOME BRANDS SPECIFY PRESSURE ON MARGINS AS THE REASON FOR POOR PAY TO DISTRIBUTORS, AS BECAUSE THE DISTRIBUTORS ARE TRADE PARTNERS - HENCE THEIR FORTUNES ARE LINKED TO THAT OF BRAND'S, UNLIKE THAT OF EMPLOYEES, WHO CONTINUE TO PROSPER IRRESPECTIVE OF THE BRAND'S FORTUNES !!

ALL THAT IS FINE & WELL UNDERSTOOD, BUT IF THAT BE THE CASE, WHERE IS THE SHARE HOLDING OF TRADE PARTNERS ??


8] DIMINISHING RETURNS :

WHAT IS THE LOGIC OF ASKING DISTRIBUTORS TO INVEST MORE IN RESOURCES, MORE WHEN REVENUES ARE FALLING AND MARGINS ARE UNDER PRESSURE ?? ABOVE THIS THERE IS NO SECURITY THAT NO SOON, IF THE POSITIVE RESULTS OF THE INVESTMENT WILL BE VISIBLE, THE BENEFIT WILL BE NOT, SUCKED BY THE BRANDS, BY SELLING PART DISTRIBUTION RIGHTS, AT PREMIUM AS A RESULT, CREATING DISSATISFACTION FOR THE OLD DISTRIBUTOR, WHO MIGHT BE TEMPTED TO QUIT, HENCE LEADING TO BONANZA FOR THE BRAND OWNER, WHO WILL SELL DISTRIBUTION RIGHTS FOR THE BALANCE TERRITORY AT PREMIUM.


9] ABNORMAL BENCHMARKS :

VERY STIFF TARGETS ARE SET FOR THE DISTRIBUTORS WHICH IS NEVER IN TUNE WITH REALITY.

THIS IS DONE SO THAT NON COMPLIANCE TO SET TARGETS CAN BE USED AS A TOOL, TO TAKE THE DISTRIBUTOR TO TASK AT WILL.

10] RESOURCE COST :

BIG BRANDS SOURCE FUNDS AT MINIMUM HALF THE COST TO SMALL ENTITIES & IF SHAREHOLDER MONEY IS ACCOUNTED, THE COST WILL COME DOWN FURTHER.

11] SHORT CUT : :

SINCE THE OPTION OF MANIPULATING THE NON SUSPECTING DISTRIBUTING ENTITY IS OPEN TO THE BRANDS SALES TEAM, THEY RESORT TO UNHEALTHY TRADE PRACTICES, TO ACHIEVE THEIR TARGETS, HENCE PUTTING THE DISTRIBUTORS AT THE RECEIVING END !!