All businesses want to control their own destiny. Surely, it’s natural. The old-fashioned classic is to cut out the middleman and access the wallet yourself. After all, why go to the trouble of producing a wonderful product, only to pray fickle retailers buy into it and run the gauntlet of the supply chain? It’s sorely tempting to improve margins and go B2C not B2B.
And, as retailers become ever more aware that globalisation is but a mouse click away, why would they pay top dollar for widgets they can source, spec and put on a boat from Taiwan themselves. Again, in the pursuit of margin, it’s tempting to bite the hand that’s fed you.
A couple of recent examples:
Fresh out of bankruptcy, General Motors are showing an eagerness for change and sales by trading on eBay. With no one denying the car dealer network needs napalming, will this be the air raid warning for their atrocious service?
And Which? are looking to raise finance to launch a range of own-brand products and services. This 52-year-old charity organisation is taking the goodwill of 1 million subscribers and completely reengineering their business model.
What’s next, the BBC’s political editor running for Number 10?