Arby’s has made a joint venture with McLane as its distribution channel. This will help Arby’s to expand its market shares in Texas and surrounding states by using McLane’s great distributing system.
I think it is a good idea for Arby’s to be partnered with McLane due to the benefits they will receive. Being a partner with McLane, McLane will provide many services to Arby’s such as logistics, procurement and inventory management solutions. In addition, a vice president of supply chain at Arby’s Restaurant Group said that McLane’s efficiencies have supported their growth as a world-class supply chain organization. On the other hand, McLane is also happy being a distributor of Arby’s because Arby’s is a great and successful restaurant.
I think this is significant because both of the companies are benefited a lot from this joint venture. I think overall it will increase both companies’ profitability and will build a strong relationship between them. Plus, as Arby’s expansion increases, it will create many jobs for people.
I think it is not easy to pick a good business partner like Arby’s and McLane. There are various criteria to be considered in order to make such decision. For example, they need to consider whether they are sharing the same objective and code of ethics. This will prevent unnecessary disagreements which can disrupt sales. They also need to think about the image and the reputation of the companies and whether they received positive customer feedback.
What do you all think about this article? Please comment on it!!!
http://www.food-business-review.com/news/arbys_beefs_up_relationship_with_mclane_for_texas_market_091117
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