How can an industrial distribution firm ensure that its customers are not a competitive force that adversely affects the profitability of their firm? Document Preview:
In answering questions, you are not to use any information or data from any individual in any format or process. Except as noted for a particular question, answers may be developed from material that is provided in any format for this course. Instructions: you are required to write the question you are answering and follow with your answer for that question. ____________________________________________________ Background for Question #1 Many industrial distributors consider that existing customers are a major profit generator for their firm. However, Porter’s Five Forces suggests that in certain situations customers (buyers) can be a competitive force that adversely affects a firm’s profitability. Question #1 How can an industrial distribution firm ensure that its customers are not a competitive force that adversely affects the profitability of their firm? ____________________________________________________ Background for Question #2 Use material from Robbins and Judge’s text (Organizational Behavior, 17th edition) Chapter 15 and from Grant’s (Contemporary Strategy Analysis. 9th edition) Chapter 6— both pertaining to mechanistic and organic organizational forms to answer the following question. Question #2 After receiving your MID degree, you have been recruited to assist the CEO of a general line industrial distribution firm with annual sales of $150 million to determining whether the firm should continue to utilize a mechanistic structure. Develop and explain the factors that should be considered by the CEO. (Note) the definition of a general line distributor is depicted in the Glossary. ____________________________________________________ Background for Question #3 You are the CEO and principal owner of a privately owned Electrical Distributor, the Alamo Company, which is headquartered in Houston, Texas, and has 14 branches located in the Southwest with 2017 sales of $2.5 Billion. Alamo sells electrical parts and supplies to such customers as…
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