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Conversely, this is an invitation to renegotiate prices. If a client is going to require you to do something expensive, you calculate how much that's going to c
by Arubis 8y ago
Conversely, this is an invitation to renegotiate prices. If a client is going to require you to do something expensive, you calculate how much that's going to cost you, and pass that cost along to your customer. You can even tell them that's exactly what you're doing and what the numbers look like, and if your customer isn't terrible they'll appreciate the transparency.
Frankly, that's a potential PR win for MSFT, as well: "we're requiring our suppliers to do this, and it's increasing our costs by $X; we're putting our money where our mouth is & invite you to do the same".
- pkaye 8y agoHow do renegotiate prices when Microsoft is not your only customer? Just increase the prices on Microsoft or on all your customers to pay for these benefits?
- Nasrudith 8y agoLarge customers often demand bulk discounts seperate from the standard pricing plan. Usually it is lower but demanding extra standards can cause it to be higher if say tighter tolerances are demanded.
- kamarg 8y agoEntirely up to each business. You could spread the increase in costs out to all clients and hope that the increase on those that stay makes up for the decrease from those that leave. You could charge it all to MS who is likely your biggest customer. Or any combination in between. It's a calculation that each company would have to make for itself.
- yardie 8y agoI have a friend who provides private security. Gov't and a few progressive clients have benefits and wage guarantees. He spins off a LLC to handle those contractual benefits. It's a bit of a headache for paperwork but stupider to leave the money on the table.