ALL ARTICLES AND INSIGHTS
Explore strategy, markets, and business perspectives.
A Lower FOB Cost Can Worsen Your Viability Ratio While Improving Your Price
Lower your FOB cost and the shelf price falls, yet the viability ratio can slip. The reason sits in which layers of the chain move with cost and which do not. What is your ratio actually telling you?
What Share of the Shelf Price Does Your FOB Cost Still Represent?
A product can be strong, a distributor willing and demand genuine, yet the shelf price can still be uncompetitive. What share of the final price does your FOB cost represent in a new market, and who decides the rest?