tommyboy wrote:
OK, I'm somewhat more clear as to the MAP thing.
Now on to the final part.
How is it that a product as popular as the Akeda jig and accessories
are sold exclusively by a single retailer? It may be my naivete but
I'm thinking that if I was a woodworking type retailer I'd really want
to carry that product. How did Woodcraft get to be the 'chosen one'?
Might they have financial interest in Akeda beyond that of a retailer?

That's an easy one. A manufacturer can only sell as much product as
they can make. If a reseller decides to purchase 100% of a
manufacturer's production capacity, then the manufacturer can cite
"availability" as the reason for rejecting purchase orders from other
resellers.

Very often this sort of arrangement is by agreement between the
manufacturer and the reseller. Consider the situation where a
manufacturer wants to work through one exclusive distributor. That
distributor is then responsible for supplying all other resellers. The
distributor obtains exclusive rights to the whole world as their
territory in exchange for agreeing to buy everything that the
manufacturer can make. Perfectly legal. The manufacturer can cite "no
available territories" as the reason for rejecting purchase orders from
other resellers.

Woodcraft might have some financial interest in Akeda and therefore be
able to influence the channel strategy. Or, perhaps Akeda has their
hands full just trying to keep up with demand created by Woodcraft.
Who knows exactly what the situation is.

Ed Bennett

http://www.ts-aligner.com