Schneider Electric won
a recent court case against Breakers Unlimited, a Noblesville, IN-based business that purchased counterfeitSquare D products
in 2005 and 2006 for resale. Schneider, the parent company of Square D,spoke with MDM in February 2008 about its long fight
against counterfeits of its brand. This recent win by Square D is from just one of many lawsuits it has filed to protect its
brand. An excerpt from the February 2008 MDM article:
"Counterfeiters had taken their own products and slapped
fake Square D labels on them. Historically, counterfeits have been easy to detect. But the counterfeiters have grown more
sophisticated, making it more difficult to name a ...
Recently, the Wall Street Journal ran a best practices article with lessons distributors can apply to their own services businesses: "Beyond Products: More manufacturers are branching out into the service business. Here's how to make the move successfully."
One of the key points made in the article: Many manufacturers who have moved into services have gone without a clear strategy. I'm sure some distributors will relate to the challenges outlined, including trying to sell services that were previously free (See Emerging Model: Fee-for-Service on how Cardinal Health and other drug distributors try ...
An article in BusinessWeek reminds everyone that markets are local - as most independent distributors know very well. It points out: "You'll know we're back to an ordinary, boring real estate market when buyers focus less on the intricacies of foreclosures, short sales and the like and go back to the things that used to matter most: What are the schools like? How quiet is the neighborhood? When am I going to have to replace that roof or cut down that diseased oak?" Demographics shifts, employment growth and so on drive local housing markets because after all, "there is no such place as National Median, U.S.A.," the article says.
commentary on the relationship between distributors and manufacturers by PVF industry veteran Robert Vick in The Wholesaler:
It's an honest rundown of perceptions on both sides of the fence looking at things like the cost of manufacturers' going direct,
the substitution of branded with non-branded product, wholesalers' knowledge of their costs, openness to technology, and so
on. He says:
"Survival for both the manufacturers and wholesalers depends on the changes we are willing to make
for each other before we can make the changes we need to have a better understanding of the role each of us play in the supply
chain and which direction we must take to make ...
Western Tool Supply, Salem, OR, filed for Ch. 11 bankruptcy protection on June 9, 2009, in Oregon Bankruptcy Court, attributing
the company's tight position to an "acute shortage of operating cash, together with long-term leases that no longer reflected
a market rate in a rapidly-declining commercial real estate market."
According to a June 10 filing, submitted
to the court by President Kevin Kiker, the distributor of tools, fasteners and related parts to contractor
customers has seen sales drop "precipitously" in 2009. Gross sales in 2007 were $67.5 million,
and in 2008 fell to $50.8 million. No figure was provided for year-to-date sales in 2009.
founded Western Tool in February 1982, operating out of his garage in Jefferson, OR, according to the filing.
In June 1982, he moved ...
My bank was recently acquired, out of collapse, by one of the largest banks in the country. The transition from one to the other was going pretty smoothly, and I hadn't noticed any changes - for the most part - in how they did business with me. Until now.
I received a letter last week telling me that I had gone beyond the limited transactions" my account allowed online and via check (three!), and that I had been charged an over-activity fee for this transgression. I am getting married this month, so I have been writing more than the usual number of checks and conducting more than the usual number of online transactions. Still, this has never been an issue before. Clearly in the merger of the two banks, my free checking account had been downgraded, so to speak, to a category that had ...
HVAC distributor Watsco Inc. and air conditioning product manufacturer Carrier Corp., a unit of United Technologies Corp.,
are moving forward with their plans to form a joint venture that will distribute Carrier, Bryant and Payne products throughout
the U.S. Sunbelt, Latin America and the Caribbean.
The U.S. Federal Trade Commission has granted early termination
of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 related to the joint venture.
it closes, the deal will nearly double Watsco's sales. Watsco is a distributor of air conditioning, heating and refrigeration
equipment, parts and supplies in the HVAC/R industry, operating 412 locations serving 40,000 customers in 34 states.
Electronics distributors were the focus of a
recent article by Reuters, which said that the companies reported no improvement in demand except in China and a few niche
areas. But the article offered some relatively positive news. The supply chain is moving again "after practically grinding
to a halt."
Still, the CEO of Ingram Micro - Greg Spierkel - told Reuters that "green-shoot messages"
are premature. He went so far as to say that the industry is in the worst stages, and if it has not yet hit bottom, it will
in the coming months. Avnet's CEO had similar sentiments.
The article did say that distributors expect to benefit
from falling ...
Survey results released today
by staffing firm Manpower Inc. show that employers are still reluctant to add staff in the third quarter 2009. The hiring
picture in the U.S. is unchanged from the survey's second-quarter results, but the rate of labor market contraction is expected
to level off.
The firm suggests that the results imply the "worst in behind us," though the survey
covered mostly hiring plans and not downsizing. So while the analysis itself may be sitting on a shaky foundation, the overall
results do show that globally, the employers surveyed remain cautious and are waiting to see whether the third quarter plays
out better than the first and second ...