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The sales model has a maximum of three vertical levels before it reaches the distributor ensuring a decent profit margin for the consumer which in our case is the stockist. Price and margins are charged at different rates depending upon the reliability of the customer and the amount of seed he/she is able to move annually. The sales team is in charge of procuring new clientele, providing them with information and also promoting new seed varieties. The salesmen work on a commission basis taking a percentage of the volume circulated within a given year. Retail price of all products are printed on the packages to avoid exploitation by stockist of farmers. There have been recorded instances when farmers have been overcharged particularly at peak demand periods when seed is in short supply. |
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