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  1. #31
    Enthusiast
    Join Date
    Oct 2012
    Location
    Houston, TX
    Posts
    296

    Re: Is there a good reason for distributors to exist?

    Quote Originally Posted by sutton View Post
    I would go one further - producers shouldn't be prohibited from selling to anyone if they chose to - skip around the entire chain including retailers and sell directly to customers if they feel it is in their economic interest to do so.

    Smaller volume producers could benefit if they couldn't find distributors willing to take them on, as would small volume one-offs from large producers which might create a new market segment. Producers could still avail themselves of the economies of scale of distributors (or direct to big-box retailers if they wanted) for their large volume products.

    Smaller volume producers could benefit if they couldn't find distributors willing to take them on, as would small volume one-offs from large producers which might create a new market segment. Producers could still avail themselves of the economies of scale of distributors (or direct to big-box retailers if they wanted) for their large volume products.[/QUOTE]

    I agree with this. I love the option of using a distributor, but I hate the requirement to do so. I may have gotten my knickers in a knot when someone condemned retailers for wanting to take advantage of the efficiency of distributors, but the regulations of the current system are crap.
    "Unless it survived a tornado, weathered a snow storm in Scotland, and then spent a year on boat before returning home, I'm not really interested."

  2. #32
    Virtuoso
    Join Date
    Apr 2011
    Location
    Sutton, Massachusetts
    Posts
    1,215

    Re: Is there a good reason for distributors to exist?

    Yes, to the extent that distributors offer real value the market will find them. I do think they provide value in certain circumstances, but a "one size fits all" supply chain is going to create a problem somewhere. Kind of surprised how no one has mentioned how distributors prevent minors from buying alcohol on the Internet ...
    Mark

  3. #33
    Bourbonian of the Year 2002 and Guru
    Join Date
    Sep 1999
    Location
    Chicago
    Posts
    12,604

    Re: Is there a good reason for distributors to exist?

    I meant 'thread,' of course, but 'threat' kind of works.

    If you're interested in this subject, the conversation over on my blog is pretty good.

    We can talk about this stuff but we have to be realistic about how next to impossible it would be to change. If the fight in Pennsylvania is any indication, we'll all be called child murderers because, you know, it only takes a little greed to kill a child.
    Last edited by cowdery; 05-08-2014 at 17:21.

 

 

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