Colorado_XJ said:
And did I mention the 7% fuel surcharge a lot of suppliers are charging?
-Rich
If I told my customers that my prices had to increase 7% because of fuel surcharges, they would tell me to fuck off, and buy from china.
thats what I'm dealing with.
In order to meet demand, We've had to decrease our deliveries from 6-8 weeks to 2-4 weeks, because we can no longer compete on price.
I've had to purchase exotic cnc machinery to steamline our process, and those capital improvements have cut into raises and bonuses, but at least we didn't have to lay anyone off. **WE** had to suck it up, and it is absolutely UNREASONABLE for any of our vendors to think they can simply pass on thier increases to thier customers. Since we all know what our customers would say to those irresponsible passing along of increases, we've "pushed back" and told several of our vendors to "fuck off" and figure out a way to suck it up, and plug thier own leaks so that thier increased efficiency will allow the room.
Lastly, and most importantly.....My business is not huge. There are thousands of accounts in chicago that are much larger, and my company represent only a small percentage of yearly sales to our various vendors....however, we are the fastest pay int he city. We pay our invoices upon recipt usually, taking anywhere from 1/2-5% discounts in the process. Quick pay accounts, no matter how small or how large, will certainly get the attention of the suppliers you do business with. We are a smallish-medium sizes company that gets treated like a big player......
38 cents a pound on coiled bright basic is a very decent price today. I am fully aware that it is roughly 25% higher than the last time the particular material was ordered...BUT WE'RE NOT PAYING DOUBLE LIKE EVERYONE ELSE!
so when we recieve ridculous quotes, or increase notifications, our response is "fuck off".
it takes balls to push back on a vendor, but not nearly the amount necessary to pass on a stupid increase to the people putting food on your table.....YOUR CUSTOMER.