Dynamics

Why does this Dynamic affect you, the OEM or EMS provider, adversely?

XXDCIXXXX37
PEF22554HT V2.1
INFINEON
IC Quad E1/T1/J1 Framer & Line IC for Long and Short Haul Applications TQFP
70pcs
$21.9520906

Above is an OEM1 Excess. Notice the book price. Now, this is excess that just came in from an OEM2 site we work with:

LXX-1AXXXXXX
RoHS,MICROCIRCUIT/QF
INFINEON TECHNOLOGIES
PEF22554HT V2.1
2,000 pcs
$12.5677

Let me point out some quick dynamics as some may see as if you are OEM2 you are ahead of the game. For OEM2 to sell these goods a broker is usually involved and will try to make the margin between these two companies. IF the approval goes through then there is positive result however the broker's needs come first here NOT the OEM's. Is this how YOUR excess is sold off? Rewarding your broker vendors, as some put it, doesn't reward the shareholder. It just allows for more chaos and worse NO control of your overstock to the marketplace. Unless that specific broker has the end user and they are willing to take the goods at YOUR book price then YOUR success is affected. The more brokers you give the information to, the more your stock gets devalued and the more chaos is created. Now we have a better way to traditional methods of asset recovery AND sourcing WITHOUT broker involvement.

-The XSD Team