Sunday, July 11, 2010

~Cutting Out The Middle-man~


It is very important that ~Women on A Quest to Success~ understand who the middle-man in business is.

We start off with a Supplier > Manufacture who then sells their product(s) to the Wholesaler. Then their is the distributor/retailer > advertising/marketing > Broker/Delivery > Consumer/Buyer.

The middle-man serves the manufacturer by being the advertising, marketing and sales; moreover, an extension to a connection with the consumer. You could call it an arm for a manufacture product line.

Due to all the channels of travel in between the manufacturer and the consumer, the consumer gets the short end of the stick.

No room is left from the middle-man to provide the consumer with a moderate priced product line.

Providing individualized service and order fulfillment, especially in today's economy is essential for a successful business. Simply stated, "Superior Consumer Service" is the key in business growth.

Superior Consumer Service would equal an exceptional product line without excessive costs to the consumer.

Having a middle-man would be to facilitate transactions of the manufacturer product line in a world of business commerce.

The issue I have with the middle-man is that if we as women are going to run a successful business we need to build a business where we implement working smarter not harder.

Seven out of 10 new businesses survive at least two years, and about half survive five years.

We have a choice in our business survival by the about of effort we place on understanding how to build our business.

How much of our revenue will go toward the middle-man if we keep him.

My advice: Cut out the middle-man.

Let's take that revenue and put it where it really belongs and that would be in our business account.

A business transaction results in tangible gain to each party: the manufacture, the consumer

Having a huge percentage of our earnings taken from us to distribute to the chain of channels in between does not make sense in my book.

Disintermediation is defined as the removal of an intermediary, or middleman from a transaction or communication. An example is the option for a business to sell its products directly to consumers as opposed to retailer.

If you have questions you may e-mail me at: tracyannmorales@hotmail.com

Stayed tuned on Blogs to come :)

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