crazyal
Super Member
Think about this. You are a company that makes attachments for tractors. You have a building that has your equipment and stock to make said attachments. You don't have a retail store, you just sell on-line. Where would you store stuff like unsold box blades? They aren't small. I have no clue how often people buy them. It could be a year or more before the next person buys that exact model. Do you leave it outside and risk a customer complaining because their "new" BB has faded paint or some light surface rust? Do you pay extra for a larger building so you can store them inside. Even if you keep them outside do you have the room? If not do you want to pay higher taxes for a larger building/ lot?
Attachments are probably a low profit margin item. You're competing with the stuff being sold at Tractor Supply. Not that TS sells junk but they do have a more budget friendly line of attachments. So this really could come down to being able to charge $50 or $100 less by using a business model that allows you to cut your overhead down. I use to work for a business that would take orders that took months to fill. Their customers were all large businesses and great to deal with. But when the economy turned down they started stopping their items in mid stream. Within months we ran out of room storing stuff waiting for demand to pick back up. We eventually started filling semi trailers so we could continue to make the stuff that our customers wanted. We didn't want to loose businesses that we had a great relationship with so we ate the costs of moving stuff off the manufacturing line and storing it in a way that wouldn't damage it.
We tend to look at things as how they impact us, not from the other side.
Attachments are probably a low profit margin item. You're competing with the stuff being sold at Tractor Supply. Not that TS sells junk but they do have a more budget friendly line of attachments. So this really could come down to being able to charge $50 or $100 less by using a business model that allows you to cut your overhead down. I use to work for a business that would take orders that took months to fill. Their customers were all large businesses and great to deal with. But when the economy turned down they started stopping their items in mid stream. Within months we ran out of room storing stuff waiting for demand to pick back up. We eventually started filling semi trailers so we could continue to make the stuff that our customers wanted. We didn't want to loose businesses that we had a great relationship with so we ate the costs of moving stuff off the manufacturing line and storing it in a way that wouldn't damage it.
We tend to look at things as how they impact us, not from the other side.
