Re: Grizzly uses back orders as a way to finance operations?

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Amy notes:

Not what they're doing. Simple backorders.

I'd bet that Grizzly's suppliers aren't that precise on delivery dates, leaving Grizzly up in the air. There are several variables involved that are not involved in smaller businesses selling smaller items that can be readily warehoused without great cost. Warehousing larger tools is expensive as all get out, which is why most manufacturers use what has come to be called "just in time" ordering from their suppliers, and ship on the same basis to their buyers. That does mean, though, that companies like Grizzly have to deal with the vagaries of overseas (Taiwan and China mostly) suppliers, who then ship by sea, where schedules are rearranged by delivery point availabilities (check out last year's West Coast dock strike) and weather, as well as load sizes and the need for the ship to make other stops to fill its holds.

And where do you go when your supplier is one of maybe 3 in the world who produce the machines at a price you can use?
Charlie Self
"If our democracy is to flourish, it must have criticism; if our government is to function it must have dissent." Henry Commager
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no retailer is allowed to charge to the card until it is shipped. If you have such a charge, notify the card company and have them reverse it.
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On 23 Jul 2003 09:14:53 -0700, snipped-for-privacy@earthlink.net (edfan) pixelated:
-snip- Want some cheese with that whine? ;)

Not to worry. It's illegal to charge the card until the product is shipped.

What happens is that they preorder 250 pieces of item X and the factory QA man lowers the output to 227 before they're shipped. The ship takes a month to get around the world and they probably have a dozen loads on different ships throughout the month.
Let's say those item X things go on sale and the 227 they just received are out of stock in the first week due to 289 orders. They now have 62 backorders. The next shipment of 50 is due in next week but all 62 people have been given the 4-6 week delay notice. 30 don't want to wait and drop their orders so your item X is on its way to you at the end of the very next week.
That's what happeed with my order. I called in on Friday and was given the 4-6 week backorder info. The shipping company called the very next Monday and asked to set up the delivery, complete with lift gate and everything. I had it on that Wednesday. What happened to my order? Someone ahead of me cancelled, or they got more of the items than they thought in that order, or a large company cancelled their standing order for x number of items that month.
In any case, it all works out. Have faith. In the interim, pick up a $99 Chiwanese special at HFT and sell it for $140 once the real compressor comes in.
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I'ts *illegal* in the U.S. to charge the creditcard _before_ the date the item is actually shipped.
Sorry (not!! :) to blow your conspiracy theory.

This _is_ what happens when stuff is imported by ship. long delivery times are unavoidable.

FALSE TO FACT.
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