hey guys,
i m facing problem with store (deposits and initial investment),demand and supply gap at initial level. so not able to procure large volumes from wholesale mandii therefore no gud margins.a new ideas has come to my mind for start retailing at greater depth and procuring high volumes so tht i can get more margins to work on. i have talked to "saras milk parlour" holders for working with me. they are ready to work under my banner. the volume tht can be sold is 1.5-2 qt. per day. and there are around 500 outlets in kota(imagine the business turn over and coverage !!!!).the advantages associated with this channel are- greater depth,coverage,turn over and co-branding. but there is risk with this is that if,in future,they start this own thier own , not under my banner, this channel will cannibalize my sales from other channels(retail stores). and anybody can do this without much investment.
the solutions for this problem i have thought are - 1. legal agreement 2. procurement volume and margin ratio. (as they can not compete with me as i my procurement will be in tonnes and thier willl be 1-2 qt.). 3. direct tie up with "saras dairy" for starting a new business divison. (but it can be done only when we start doing business at high level and our brand has a value in market.. so initial level it is hard to tieing up with them.)
so far conviencing fact is :
1. dairy business starts at 5 in the morning so anybody in this business will not interested in direct procurement from wholesale mandii which starts at 4 in the morning. thier milk business can affect. so they will be dependent on us only for supply.

rest plz suggest me. i m not yet convienced with the idea properly.