Commentary: Lessons from Detroit for Distributors
Many of our readers are seeing direct impacts from the wrenching transformation taking place in the U.S. auto industry. While it is easy to focus on the negative and sensational news our national media regurgitates constantly, there are some important takeaways from this situation for distributors and manufacturers who sell through independent distribution channels.
First: The recent financial meltdown did not cause the downfall of the Big Three. The financial crisis precipitated what arguably was more than two decades in the making. Remember the ghost of Ignacio Lopez, GM's purchasing chief in the 1990s?
In the 20-plus years I have been covering industrial distribution channels, the supply-chain relationship between these manufacturers and their ...