Wholesalers in transition face a death trap.docVIP

 PAGE \* MERGEFORMAT 21 Wholesalers in transition face a death trap Increasing competition in the cosmetics industry, cosmetics wholesalers are a lot of competitive pressure from smaller and smaller living space, first of all the pressure from manufacturers and cooperation of the manufacturers through a variety of means to Yahuo wholesalers, distributors back to the task each year shall pressure to increase inventory and sales, inbound shipments compared faction busy busy scene, but the profit is very modest inventory throughout the year. Operating profits earned by only the brand-name equivalent of porters, operators of non-well-known brand of small profit margins are great, but sales of the troubled no way of breaking the formation of non-profits do depend on the amount of the amount of money, not the amount of lucrative find it difficult to make money embarrassing situation, followed by a lot of competitive advantage for manufacturers to take a direct mode of cooperation with the terminal shops, as well as from the terminal agents to seize the phenomenon of wholesalers share, compared with wholesalers are at a disadvantage. The most important is the profits of wholesalers and sales are subject to an unprecedented impact, so wholesalers seeking to transition to the terminal ‘widening way out’ is imperative, but so far only a handful of transformation success stories, the vast majority of wholesale transformation of Failed encounter death traps. Failure cases: the incident in May 2008 in Xi’an, Daniel Mall, operating more than ten years Qiao-ying’s suddenly ‘vanished’, aroused intense speculation travels lot of criticisms, Qiao-ying event uproar even spread of Shaanxi Province. Qiao-ying company more than 10 terminals and distribution brands, of which sales of several brands pretty good, like Shanghai, Diana brand, Victoria Jaina brands, Lassie brand and Nuo Diya and other children have annual sales of 200 million or more , these brands can be supported by m