Really curious what this is actually about!?!
Cory,
I promise not to start pointing fingers or naming names.
The problem revolves around filament-wound Rocketry components and the fact, with one exception ( which I will not name, by request and out of respect for him), that virtually EVERY Kit Manufacturer gets their components from ONLY ONE SUPPLIER.
Without the SINGLE SUPPLIER, essentially, there would be no composite tubing or nose cones for Rocketry.
The SINGLE SUPPLIER has a long-standing history of "less than stellar" ( I'm being polite ) performance in delivering items, demanding that orders be prepaid in full, in advance, often taking months or even years ( sometimes never ) to, eventually, fill the orders.
Now, when a Rocketeer has ordered Kits or Components and paid in full, in advance, from a Company . . . The Kit Manufacturer then "takes his profit margin" and pays the SINGLE SUPPLIER in full, in advance . . . The SINGLE SUPPLIER, then, either manufactures the ordered items ( or not ) . . . Often, the SINGLE SUPPLIER uses the funds received to fill other orders that he is severely back-ordered on, rather than making the items which have just been ordered . . . A "vicious cycle", then, ensues.
One might, logically, ask the obvious question, " Why didn't the SINGLE SUPPLIER already have the funds necessary to complete all of those previous orders ? " . . . Now, THAT is a DAMN GOOD QUESTION !
Another logical question might be, " Why do Kit Manufacturers keep using the SINGLE SUPPLIER, since he continues to do what he does ? " After some research, I have come to understand that he, basically, keeps them "on the hook" in 3 ways :
(1) He is the "sole source" . . . ( except for the one I can't mention ) . . . A "Monopoly".
(2) He has the "lowest prices" . . . ( by how much is unknown ). I suspect that, if all of the Kit Manufacturers "put their heads together" and approached the "other supplier", the prices could be the same, possibly lower. If that happened, the SINGLE SUPPLIER would be "up the creek, without a paddle" and, likely, go out of business.
(3) The SINGLE SUPPLIER owes so many Kit Manufacturers so much product that they can't risk ticking him off and NEVER getting their items and losing their money. So, they keep ordering, and paying in full, in advance, because of the way the SINGLE SUPPLIER runs his business, where he constantly needs "money up front" to, retroactively, fill orders. At present, he is the ONLY Supplier and has a "Monopoly", at least for now. This needs to CHANGE !
Sorry to be so long-winded . . .
Dave F.