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  1. #1
    Join Date
    Aug 2003
    Posts
    225

    Should Manufactures be in the install business?

    Isn’t this kind of against open market (fairness) philosophy of USA?

    Or lock customer in to them, (or there only one Lic, vender in state/etc or two if you’re lucky…)

    I’m tired of this lock in or (propriety) in house only or license of certain manufactures
    (No names needed) this is more of a generic rant

    Sure – I know they don’t want to have everybody to be installing there product (why I don’t know, think more market share) so only sale for Licensed contractors…say over the counter at whole sale or even on web.

    I know Lon World “quote” Open / etc “unquote” but even some venders (not to name any) want you to buy/have a license – Kind of MLM to me even...

    I guess I’m a free market guy and a manufacture locking in a customer (with little to no choice) or in competition with us –is just not right

    I think that’s why people are going to lon or even companies that don’t require you drink there cool aid or sign over your first born

    I even seen customers – (sic) go back – to relay logic controls (for you newbie’s – that wire and relays) because of this.

  2. #2
    Join Date
    Jul 2007
    Location
    Ontario Canada
    Posts
    883
    If you are for a true free market than you wouldn't have a problem with manufacturers installing. In a true free market monopolies would be tolerated and other such things.
    I am just trying to play devils advocate for a sec..
    If there is a company that makes its own duct, are they allowed to install it?
    Or how about a company that manufactures kitchen cabinets or some such thing.
    Or a company that makes HVAC equipment and owns franchises and sells to companies?
    There are alot of manufacturers that install. Or maybe that depends on your definition of manufacture.
    If at first you don't succeed; charge, charge, charge again.

  3. #3
    Join Date
    Jul 2006
    Location
    Southern California
    Posts
    221

    Market distribution issues?

    There are pros and cons. Some controls techs wish they could buy and install any brand they happen to like from the local parts store and just get it done.

    As this subject relates to DDC controls, I mean the more complicated brands with web front ends, there are good reasons to have exclusive dealerships which can and do in most cases benefit the manufacture.

    Oh, did I mention benefit the manufacture? That is what it is designed to do.

    If I spend a million dollars on a new product line, and I want to make sure there is an agressive effort to sell the new product, going thru exclusive dealerships help to make sure that happens.

    Some dealers take advantage of their sole exclusive selling position to just rape and pilliage, yet others do a very good job of taking care of their clients and the brand reputation. I think we all know some of those companies.

    Anyway for my two bits, the system works just fine, even though, I wish I could get some of those controllers and software without getting SIA by the sole exclusive dealers.

    Guess if I was any damn good I would have one of those sole exclusive dealerships.
    "We are what we repeatedly do. Excellence, then, is not an act, but a habit" Aristotle

    Remember to "Pay it Forward"; help out the newer generation of techs, remember someone during our career helped us! ("Pay it Forward" was by someone smarter than me!!)

  4. #4
    Join Date
    May 2002
    Posts
    9,564
    People will generally do whatever works, with the least amount of work and the highest profit they can get away with.

    Much of the customer base are sheep that respond to "engineering" firms that don't do any work other than hopping in the salesman's car to lunch. Then they combine specs from their three favorite salesmen and toss it on the customers desk.

    It's up to the customer to work around that. It's their decision on who gets the sale. Unfortunately they turn into sheep and defer the important decisions to lazy consultants and "engineering" firms.

  5. #5
    Join Date
    Mar 2003
    Location
    NY
    Posts
    2,129
    Hey sys, it sounds like you work in my town. We have the same lazy engineers and consultants here.
    Some interesting things have occurred here lately. One or the big 4 manufacturers has moved the parts dept out of the sales office to a new location. Word is that they are plannning on moving the service dept somewhere else too. Sys, it's your favorite manufacturer. I hear the reason is that they don't want to appear to be competing with their sales customers for service and control work. I can't imagine that this will fool anyone except maybe some of those engineers that you mentioned.
    Another one of the big 4 has seen their service branch go from 14 or so employees a year ago to only one as of last week that is left to turn out the lights and lock the door when he goes. That should be easy to figure as well.
    Last edited by dapper; 10-15-2007 at 08:57 PM.

  6. #6
    Join Date
    Apr 2007
    Location
    little rock ak
    Posts
    143
    i didnt now they could

  7. #7
    Join Date
    Oct 2005
    Posts
    318
    Consider the other extreme. Why should manufacturers sell to anyone else at all? Maybe they want control over who represents them in the market, whether it's a factory office or limited number of dealers? Customers know (or should) who they are buying from and if they don't like it, they shouldn't pick that brand.

    GM doesn't let everyone set up their own independent Chevy dealership just because they want to sell that brand.

    I agree though that selling only through factory offices is limiting, and the manufacturer can probably sell more with wider distribution.

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