BARGAINING POWER OF THE BUYERS:
The buyers of the industry can be discussed as the consumers who are the end users and the distribution channel members.
A) CONSUMERS
- The bargaining power of the consumers is high due to the presence of many competitive products in the market. - The Electronic models available are not much differentiated in terms of the features, and so the buyers can switch between the different brands based on other criteria like Price, service, warranty, promotion and financing schemes.
B) DISTRIBUTION CHANNEL MEMBERS.
The industry players use different intermediateries like dealers, distributors and the C&F agents for the distribution of its products.
- The bargaining power of the distribution is high as the same dealer deals in the products of different companies. This increases the bargaining power of the dealer as he can promote one brand at the cost of another if not satisfied with one company.
- The existing companies try to provide the channel members with a better deal than the competitor to lure him to promote their products.
The buyers of the industry can be discussed as the consumers who are the end users and the distribution channel members.
A) CONSUMERS
- The bargaining power of the consumers is high due to the presence of many competitive products in the market. - The Electronic models available are not much differentiated in terms of the features, and so the buyers can switch between the different brands based on other criteria like Price, service, warranty, promotion and financing schemes.
B) DISTRIBUTION CHANNEL MEMBERS.
The industry players use different intermediateries like dealers, distributors and the C&F agents for the distribution of its products.
- The bargaining power of the distribution is high as the same dealer deals in the products of different companies. This increases the bargaining power of the dealer as he can promote one brand at the cost of another if not satisfied with one company.
- The existing companies try to provide the channel members with a better deal than the competitor to lure him to promote their products.