game plan is grab a dominant share, then worry
about margins.’’ At this point, Bryant gave Wilson
something else to think about:
Bryant: Hey, Zack, I noticed you guys are selling
the same products on your own Web site as
the ones we’re selling on ours.
Wilson: True, what’s the problem?
Bryant: Well, I just read in the trade press where
Home Depot told their vendors that they
don’t buy from their (Home Depot’s) competitors
and that they view vendor Web sites as
competitors to their retail business. Maybe we
feel the same way. We sell on the Web, and if you
do too, then you’re really a competitor for us.
Wilson: Warren, you know that we only do a little
volume on the Web. Our site is really more of an
information site.
Bryant: But you do offer an alternative to other
electronic retailers and us by selling on your
own site. And by the way, don’t your store
retailers oppose your selling on the Web?
Wilson: At this point, most of them are small
retailers, and frankly speaking, they view you
as more of a threat than us selling on our own
site. Besides, our store division salesforce is
working on a software package that will enable
our store retailers to easily set up their own Web
sites over the next six months or so.
Bryant: Unbelievable! What you’re saying is that
another division in your company is creating
even more Web-based competition for me!
I thought we had a real future together, but I’ve
got to do some heavy-duty thinking on that.
Thanks, Zack, but I’m really busy and need to
move on to some other priorities this afternoon.
Call me if you have any new thoughts on where
we go from here.
Wilson left Hypermart and began the hour-long
drive back to the office. ‘‘Good thing I’ve a little
time to think about this situation,’’ he thought as
he drove along. ‘‘I need to talk with Rebecca Stanley
just as soon as I get to the office.’’
Questions
1. How do you think Wilson got into this
dilemma?
2. If you were Rebecca Stanley, Wilson’s sales
manager, what would you advise Wilson to do?
Situation: Read Case 1.1.
Characters: Zack Wilson, Biomod
sales representative; Rebecca Stanley,
Biomod sales manager.
Scene 1: Location—Stanley’s office.
Action—Wilson explains to Stanley
what has occurred with the Ed-
Toys and Hypermart accounts.
Rather than telling Wilson how to
deal with Hypermart and Ed-Toys
from this point forward, Stanley
directs Wilson to devise his own
strategy. Rebecca then tells Wilson