One of the greatest fears in the channel is of companies going direct. It is in fact an inescapable fact that companies do go direct when the orders are large enough. I have chanced to hear that there are definite instances when vendors make bids at rates that cannot be matched by its channel partners. This could be the case even with companies that have very strong channel programs.
p____p There are also occasions when the vendor�s local representative gets a �cut� from a reseller for favoring him. I am not sure if this is prevalent more as an exception or if there is more rampant prevalence?
We know for sure that when it comes to corruption, the fertile imagination runs deep at inventing avenues of bribes.
p____p The favors to the reseller could be in terms of a special discount price for the company�s products relative to the company�s current going rates for its products in the market. This causes bickering in the channel. Haven�t we heard the grievance that big resellers get special rates? Perhaps there�s more to it than just being big. You need to understand the language of the �cut�.
p____p Like the Ganges cannot be cleaned in one day, the market too cannot be cleaned up overnight. This is also an ongoing battle and as long as we can spot the weak links where the system is being flouted, we can close ranks and clean up.
p____p The vendors for starters can demonstrate that when they position as channel friendly, they means precisely that. Also if vendor representatives in different cities, regions can stick to values and keep the dealings with different resellers transparent without bias, the marketplace could be a little more honest.
p____p The Indian channel has indeed made great strides in the past two years. I have spoken at length on some striking advances that the Indian channel has made in previous columns as I saw them. Now the time has come to pass the baton on to Carol D�Costa, assistant editor, ChannelTimes who would be writing the column hereafter. I wish all of you great success.