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Fri, Mar 29, 2024 07:07
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Management Side

Weighing in on Corruption Month

Jim,

What you are talking about is petty compared to the price fixing that used to go on with mills. Mills winked at price deals with a customer for a defined end-user -- but then the printer with full knowledge of the mill used their deeply discounted paper to print for other customers and steal them from other printers. Merchants gave pricing from one mill to another. Cash rebates were the norm. I even found a mill rep going thru invoices one day at our office copier.

One area many years ago, and I imagine still exists is the year book printers that get a great discount for their yearbook paper -- but then they take it to the commercial market and steal business from normal commercial printers that get a paper price nowhere close to the yearbook pricing.

Although I have been out of the paper biz for many years, I still work on a consulting basis with printers and assist in the sale of printers. From what I am told, it all still goes on.

Of course today you have the more prevalent issue of foreign mills that have no reservations to out and out offer bribes -- it is their norm.

Ron Litton

Thanks, Ron. Your example is why many people in our industry went to jail.

Jim Thompson

Hi Jim, Corruption being defined as dishonest or fraudulent conduct by those in power, typically involving bribery. I think the industry is currently contracting with so many mills closing down over the past few years and that imports is the biggest competitor and threat by undercutting local supply as the parity of the imported goods manufacture vs our labour market makes us noncompetitive in some instances. The word stealing is such a strong word and in Sales every end user looks to have a competitive advantage, that is the nature of Sales. The more appropriate concept to be looked at is CRM down the supply chain and how to positively reinforce customer relations and loyalty within the bounds of B2B.

Faranaaz Begg

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