Selling in the lower price

Discussion in 'Growing and Managing a Business' started by sweden99, Mar 26, 2014.

  1. sweden99

    sweden99
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    Hello

    How important is the price in B2B selling?

    Let's say company1 has bought products from company2 for years.

    Then company3 offers exactly the same products to company1 but 20% cheaper than company2.

    What the company1 will do (What most of companies1 will do)?

    Do they begin to buy from company3 or not? Do they contact to company2 and ask 25% or more cheaper prices?

    Thank you if you can help
     
  2. binpowers

    binpowers
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    I think company 1 should ask company 2 for 25% or more cheaper prices. If company 2 agrees to it then Com 1 can enhance their profit margin. If the don't then Com 1 should do business with company 3.
     

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