A Discussion on the Supply Chain of Car Manufacturing

For customers the specification of vehicles and cars are the most important feature especially when the buyer belongs to young generation. Buyers are mostly concerned with getting deals that is lowest in the town and can be offered in various ways. Armenia cars are attractive to all the age groups of buyers and its demand is high nowadays considering the fact that more and more mass are attracted towards it. The main reason for this can be attributed to the quality design and modern looks offered by such highly esteemed cars. The cars offer a bundle of services and provide a variety of other beneficial services. cars for dealers are available at lowest possible costs with extra advantage as the manufacturer of vehicles are continuously in search for getting honest and profitable dealers to sell their vehicles. The main reason why in some countries the manufacturer places high importance to accommodate the dealers can be attributed to some tax motivated reasons. The tax authorities tends to tax the purchase at the time when the vehicle lefts the dealers premises. The dealers can be a third party or even a personal show room of the manufacturer itself. Both varieties of dealers have their own personal advantages and disadvantages and the selection of the appropriate type of dealers depends upon several factors. The manufacturer finds it difficult to locate a perfect dealer as per the wishes and in accordance with the norms of the industry. Several types of other partnership related businesses are practical like establishing a joint venture; franchising etc. the joint venture is a different type of arrangement in the fact that certain elements are unique to such type of arrangement. Both the venturers have stake in both the management and capital of the joint venture. Some problems arise when there are some conflicts relating to the share of each party to determine the share of profitability. At times this may aggravate and even result in doing away with the joint venture arrangement. In the recent environment more work has been focused on maintain good relationship with the business partners. A healthy and long term relationship helps both the parties in getting good profits and returns and also helps in gaining good image of the products and services. Innovation is bound to pop up as each party focuses on their domain of the services and conflict is avoided which results in goal congruence. This helps in achieving the primary and secondary objectives of market share and growth and thus results in the achievement of mission and the overall goals of the company.

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