Intermediary Customer Purchasing from the Product Producer

Obtain Steps: The Obtain steps include all activities preceding the selling of the product. These activities include the costs of identifying potential suppliers and stocking the product.

Resources: Reduce recources required for the use of the product

1. Money – Reduce the money the customer uses with the product

A. Reduce the level of payment for use of the product

Warnings and advice

No. SIC Year Note
1 2000 1993 Introducing private labels has risk of luring consumers away from established brands and brand loyalty. Campbell is de-emphasizing its private-label pickles to focus on Vlasic.
2 3571 1998 Wyse Technology Inc. was the leading independent maker of video display terminals, the device that preceded PCs on corporate desktops. Exploiting Taiwan's well trained and low-cost work force, the company developed a cheap but high quality alternative to
3 5311 1993 Macy's in the mid-1980s tried to cut costs by producing its own private-label line in-house. But the merchandise was shoddy and consumers balked.
4 5995 2002 Last April, Luxottica demanded price cuts from the chain's suppliers and all except for Oakley accepted the terms, so Luxottica cut its Oakley order by two-thirds.

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