Buyers can expect distributors to be more responsive over the next several years. Many distributors are concerned about the transition of manufacturing to low-cost Asian countries. Most of that transition involves large OEMs and electronics manufacturing services (EMS) providers who buy direct. However, the concern is that more lower volume businesses will head to Asia as well. Small- and medium-sized OEMs and EMS companies use electronics distributors.
As our lead story says, distributors will try to expand their customer bases and forge tighter relationships with customers. That means buyers can expect better service. Distributors will enhance their value-added services and more will likely offer supply chain management services. Distributors may be more willing to provide bonded and consigned inventory programs to customers and offer more favorable payment and credit terms.
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