Hilti is a world-famous name in industrial quality power tools. Its products are
renowned for their rugged design and reliability. Most of its products are sold through
wholesale distribution (Industrial distributors in Australia) to a variety of power tool
users including factories, contractors, tradesman and government agencies. Hilti
claims that 80 percent of its distributors in Australia have been associated with it for
30 years or more. Hilti describes itself as a consistent and reliable channel partner to
its distributors. The company stated, "Our business succeeds when our channel
partners’ business succeeds".
Question:
In this scenario, comment on the above statement in terms of Hilti’s possible
implications for their channel design, selection, management and evaluation of their
current channel strategy. (7.5 marks) (400 words)