Dealers problems in India

Many dealers in India find themselves stuck, and many a times crushed in this super competitive  market. We all experience a certain saturation in the market we are dealing in. There is not a single product or service in my notice which is not overcrowded with suppliers.

 Many a times a single product or similar product of different manufacturers is sold by various suppliers in a very small pocket of area. Suppliers foresee a high demand in that product and agree to deal in it despite the severe competition. It is true that every dealer gets his due sale as most cities accommodates all large and small businesses to a certain extent.

 This saturation of suppliers gives rise to various problems. The hunger for grabbing all possible orders is inherent and thus starts the evils like price war, adulteration in product to lower the price, bribing the middlemen, evasion of tax, excessive tele marketing etc. 

The principle companies have a major role to play in this in order to control the situation by not appointing too many dealers in the same area. Unfortunately sometimes it is very difficult to control the situation.

Dealers fall into the trap of excessive marketing in desperation which can backfire. They get stuck with dead stock thus falling into a financial crunch. They may also get into desperate sale causing loss. 

 In such situations it is advisable to form an association of dealers with a strong support and understanding within the suppliers. There can be planned stocking and equal distribution and consideration for orders.