rohscompliant: do I sense a touch of cynicism here? :-) It's true that all the specialists have been swallowed up, but maybe the industry is ready for, well, the old model. I guess it depends on if there is enough business to sustain specialists and broadlines.
I've always been convinced of the value of a boutique distributor for suppliers. It is really difficult for a non-marquee line to stand out amongst 50 or 100 competitors on a line card. The consolidation of the distribution market has had that effect--even specialty distributors such as TTI are carrying a lot of lines. For customers, though--I wonder if, after getting the attention of a Score, you end up buying from a big broadline because a one-stop shop is just easier. I would hope not, but sometimes, the reality of the market prevails.
Exposure is the most important factor when getting started. If the right eyeballs can be on your product or service, things can become a hit very quickly!
Definitely for these niche distributor. If the parts are not easy to be swapped out, they would take very long time to get order from the customer as well. Maintaining trust and quality is equally important during the contract.
I like Score's idea. The only way to secure distribution chain in the era of intense competition is to find the specialized industries where both, technical competencies are a barrier and distribution chain in certain geographics have room for new entrants.
However, to sustain the advantage, the customer segments need to be captured smartly and quickly before the market is explored by big players who have the ability to hire people and develop setups required for specialized products.
If this distributor becomes very successful, big distributor will take them over and again customer and chip manufacturer will face same problem of big distrubutor and poor or no servcie.
Yes, I agree with this Barbra. This is also true for Space and Defence Electronics. You have many specilized marketing organization and they do wonderful job with high profit margin. It takes long time to develop customer base with this type of product. This is also good for small innovative organization as they get due importnace for their products.
EBN Dialogue enables and encourages you to participate in live chats with notable leaders and luminaries. Not only editors and journalists, but the entire EBN community is able to comment and ask questions. Listed below are upcoming and archived chats.
Archived Dialogues
Thailand Stages a Comeback Join EBN contributor Jennifer Baljko on Thursday August 23, 2012, at 11:00 a.m. EST for a live chat on how electronic manufacturers in Thailand have shored up their supply chain to reduce the impact of future natural disasters.
Euro-Crisis: What It Means for High-Tech Firms Join EBN Editor in Chief Bolaji Ojo and Contributing Editor Jennifer Baljko on Thursday, July 12, at 10:00 a.m. EDT for a Live Chat on high-tech and Europe's economic difficulties.
Microsoft Surface: Potential Winners & Losers What are the implications for the electronics industry supply chain of Microsoft Corp.'s decision to launch its own tablet PC? Join industry veteran and EE Times' systems and OEM expert Rick Merritt on Tuesday, July 3, at 12:00 pm EDT for a Live Chat on this subject.
Join EBN contributor Jennifer Baljko on Thursday August 23, 2012, at 11:00 a.m. EST for a live chat on how electronic manufacturers in Thailand have shored up their supply chain to reduce the impact of future natural disasters.
Peter Drucker famously said "Trying to predict the future is like trying to drive down a country road at night with no lights while looking out the back window." Yet in the razor's-edge world of electronics—with a lean supply chain and just-in-time demands—the need to know the future is vital.
While no one really can accurately predict the future, we can take guidance from another Drucker saying which is the best way to predict the future is to create it.
You've heard the saying "the No. 1 supply chain risk is your people." That hasn't always been the case. But today's complex global supply chain requires a new type of multitalented employee. It's one who understands, finance, marketing, economics, is savvy with technology, graceful with relationships and can think analytically.
Where are these people? Are universities properly preparing the next generation supply chain professionals? How do train your existing workforce for these new, demanding positions?
Brian Fuller, editor-in-chief of EBN, will lead a 60-minute Avnet Velocity panel discussion that will ask and answer these and other questions swirling around today's supply-chain talent challenges.
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