Expert Speak

Cheers To A Mature Channel

Mature Channel

__p It was forecasted and predicted, and now it is happening. Mergers and acquisitions, sellouts and takeovers have become the norm of the day. It began with Ingram Micro taking over Tech Pacific. Then it was the Kobian v/s Kobian battle for ownership. And now it’s the IBM-Levono deal that has created headlines the world over.

p____p The truth is that mergers and acquisitions are here to stay. The good news is that partners have finally come to realize that despite the chaos it’s business as usual. Earlier, speculation was rife about how the business is going to suffer and doomsday prophecies ruled the roost. Today there is a more mature channel on display.

p____p While partners are concerned about how these new companies will treat them, they have become business-savvy enough to know that speculating on the changes is bad for business. And voicing those speculations only adds to the confusion and insecurity.

p____p Despite all the action in the boardroom, the channel has continued to go about its everyday business. Yes, as expected, most of these mergers do result in a slight drop in sales, but the partner knows that these are just teething problems.

p____p Now, channel players are even asking the right questions. Most are concerned about service and warranty issues. And even double-check on these before selling it off. This trend is very different from the earlier ones, where even a hint of a takeover saw partners dump stocks on unsuspecting customers.

p____p Though still in its initial stages, the maturity the channel has displayed in recent months proves that it is heading in the right direction.
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