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In addition to the exclusivity agreement, speed fitters have question whether Tyrius would be open to changing the tyres brand name from Tokyoto to speed fitters. Assuming flexibility in the current contract, would it be in the interest of Tyrius to suppl - Essay Example

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This present paper offers advice and recommendation to Tyrius Company regarding the two viable options that the company can explore in their business deal with Speed Fitters, which deals in car servicing and repairs, and has a wide branch network within the United Kingdom.
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In addition to the exclusivity agreement, speed fitters have question whether Tyrius would be open to changing the tyres brand name from Tokyoto to speed fitters. Assuming flexibility in the current contract, would it be in the interest of Tyrius to suppl

Download file to see previous pages... Secondly, as stated by Silivia (2012), Speed Fitters will be able to attract new customers for their branded eco-tyres because of their already existing image in the automobile sector, and reputation in the car servicing and repair sector.
Therefore, it will be a wise business decision for Tyrius to offer exclusive national dealership and full branding rights to Speed Fitters since it will lower the cost of advertising and promotions as Speed Fitters is already a well know brand within the UK market. In addition, Tyrius should allow Speed Fitters to brand the Tokyoto tyres to avoid the hustle of looking for other buyers or stockiest for the Tokyoto eco-tyres.
This option is not viable because it will be costly for Tyrius in terms of promoting and advertising the Tokyoto brand within the UK market. Secondly, Tyrius will engage in unhealthy competition with Speed Fitters whereas it is also its main supplier of the eco-tyres. Lastly, Tyrius will face challenges in getting buyers for the Tokyoto tyres because even some of its procurement managers are not receptive to the product and only a few of the target customers have given a positive feedback to Tyrius proposal of supply them with Tokyoto eco-tyres.
Tyrius can save on cost, time, and money by giving Speed Fitters the full exclusive national dealership and branding rights because they will have transferred the burden of looking for customers, distributing the tyres, promoting, and advertising the new eco-tyres to Speed ...Download file to see next pagesRead More
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