There is nothing wrong with exclusive territories, however, in my view it is not the best venue to receive the greatest value.  A competative bid environment is. 

The issue at hand....... is constructing a bid spec that multiple vendors can bid and one in which the cost of the equipment over its entire service life is also considered.  As exclusive territories typically cover an entire state, it would be like being forced to have your car serviced by the manufacturers dealer.  It is not a situation conducive to receiving value. 

If the purchaser is insultated from a competative environment due to exclusive territories, then chances are they won't receive the best value over time, over all. 

mark 

----- Original Message ----- 
From: "Peter Kurilecz" <[log in to unmask]> 
To: [log in to unmask] 
Sent: Tuesday, July 1, 2008 2:32:23 PM (GMT-0500) America/New_York 
Subject: Re: Compact Shelving Inquiry 

On Tue, Jul 1, 2008 at 2:21 PM, Mark Chase < 
[log in to unmask]> wrote: 

> This is true.  The largest manufacturer of compact shelving has 
> exclusive territory dealerships and therefore it is not possible to get a 
> real competative bid within that territory for the same brand.   A second 
> quote would be at odds with that dealers' contract.  Replacement parts are 
> likewise sold within this exclusive territorial system.   It reminds me of 
> how Bill Gates marketed the computer OEM's, either exclude lotus and other 
> competitive products or don't use the Windows operating system. 
> 

I don't believe there is anything wrong with exclusive sales territories. 
Lots of businesses do that. 

now back to the issue at hand. A good RFP can be constructed in such a 
manner that it does not restrict responses to a single brand or vendor. You 
will want to identify the KEY elements or functionality you want from the 
system. 

you may want to work with your purchasing department to find out what 
information they need.  you may also want to look through this google search 
for vendors or manufacturers 
http://shrinkster.com/zvv 


-- 
Peter Kurilecz CRM CA 
[log in to unmask] 
Richmond, Va 

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