A Blue Canyon Brief - Avoiding Price Pressures
Aggressive supply chain management practices initiated by hungry global competitors are placing extreme price pressures on many business-to-business suppliers. Blue Canyon’s research has defined the factors that intensify pricing pressures, as well as strategies that best-in-class suppliers should employ to avoid the vicious cycle of pricing that has reduced the products of so many firms to commodity status. Our insights lead to action plans that enable firms to sustain reasonable price levels and avoid competitive situations where prices and margins are driven to unacceptably low levels. Our research on OEM Pricing and on channel conflict also provides clear insights on the options that firms can implement to sustain customer relationships that create value for both customers and shareholders.