Distributors to retailers credit control.docVIP

 PAGE \* MERGEFORMAT 12 Distributors to retailers credit control With the increasingly fierce market competition, manufacturers in order to gain a bigger foothold in the market, and continuously increasing the intensity of Yahuo to distributors, and retailers to make their own strength to upgrade soon become the backbone of commodity distribution, retail terminal also logical to be a distributor and defend. In this way, distributors and retailers in the production of the cracks between the survival of a dilemma. this embarrassing situation also the distributor and retailer bargaining chips continue to reduction. In this case, the credit transaction (primarily credit) became the distributor of an important means of access to retail customers, credit terms has become a distributor and retail customers in the negotiations can not be evaded an important component. In many cases, sub - sales by manufacturers in order to achieve annual sales of commitment to get more year-end sales rebates and had to amp;quot;sacrificeamp;quot; short-term profit goals, the negotiation of credit terms to make ever greater concessions. However, the actual credit the product is to be converted into cash lengthen the time span, which will inevitably lead to slower cash flow distributors, thus increasing its operating costs. distributors a lot of funds are retail customers in arrears, will result in distribution of providers of liquidity tensions, and even may lead to a large number of bad debts, bad debts, to the distributor’s survival and development of buried hidden; even more frightening is that, because distributors of their own capital and management capabilities is not clear for retailers more amp;quot;harshamp;quot; demands underestimated, so that fall into the amp;quot;no credit is to die, credit is seeking death,amp;quot; the point, and then fall into arrears and manufacturers have paid a amp;quot;morass.amp;quot; retail credit the amount of management has become urgent need to