Essay: The bargaining power of customers in Bestway Cash & Carry

Sample Essay

Customers in the case of Bestway Cash & Carry have a significant degree of bargaining power since there are multiple wholesalers that they can look forward to in order to acquire their required merchandise (Peter and Donnelly 2003). In the event that consumers are not able to acquire their desired goods from the wholesalers, the consumers also have the option of reaching the suppliers directly. It is imperative to note in this regard that in most cases the consumers are retail outlet owners who intend on putting the products on their shelves after having bought it.

Considering the fact that Bestway Cash and Carry’s consumers are generally retailers or end users wishing to purchase in bulk for varying reasons, the bargaining power of customers increases all the more because both of these can

The bargaining power of suppliers can be countered through the continuous introduction of brands that are customized to consumer needs and are under the Bestway Cash & Carry brand name. By providing consumers with brands such as these and generating a loyalty towards the Best-In brand, Bestway can generate loyalty for its wholesale outlets. The generation of this loyalty in turn can be trusted to keep the consumers from considering alternate wholesale suppliers.

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