By 
Electronic technologies continually change the international economy and at the core of this transformation is the electronic component industry. This advancement is forcing a paradigm shift in the way electronic component distributors must do business, now and in the years to come, if they want to be successful.
In 1979, Megabite Electronics, Inc. was founded. The company’s line of business includes the wholesale distribution of electronic communications equipment and electronic parts.
Benefits for OEMs
Providing value-added services provides several assistances to original equipment manufacturers (OEMs) and their engineers. OEMs are not always well-informed about the products available to them or aware of the latest component technology. There was a time when industrialist’s representatives were the conduit through which clients were educated on the companies’ product offerings. Currently, manufacturers are intensely reducing their outside sales forces, and so the task of cultivating the OEM is now the responsibility of the distributor. These places the responsibility directly on the distributor to be an expert in what they sell or face the consequences of lost opportunities. A distributor with a varied range of products and product knowledge is able to offer the OEM viable substitutes they may not have known existed.
When planning an entire system, an engineer is confronted with several trials throughout the development of the project and may oversee issues that are vital to the success of the design. Because of the distributor services a diversity of customers from several industries, it is exposed to varied applications utilizing many dissimilar design concepts. The distributor is able to use this expertise to offer alternative solutions and suggestions to the OEM, probably avoiding costly design mistakes.
Today’s effective distributor must stock an extensive variety of inventory to have a differential benefit in the marketplace. They can classically reduce manufacturers’ lead times from weeks to days. Over the next few years, sales through distribution will continue to intensify. A large part of this is because OEM’s have started to rely on their associations with distributors much more so than its relationship with the component manufacturer. OEM’s depend on the distributor for their product proficiency, as well as, design because redesign today simply costs too much money and time. A correct solution must be found on the first go-round and quickly.
Another alteration taking place at the distributor level is product customizations. For applications where standard solutions or products are not always available or a manufacturer is not eager to work with the OEM on a new strategy, today’s value-added distributor is able to offer customization services such as custom cable assemblies, plating and custom pin configurations. Not all distributors have this competency, but those that do add substantial value to their relationships with their customers. In profit, this creates loyalty, and it is loyalty that keeps the consumer coming back. Megabite Electronics is a defense technology company mainly supporting the Defense Logistic Agencies and U.S. Navy.
The electronics industry is continually evolving, and value-added distributors have their fingers on the pulse of new technologies and trends. They are in tune to these altering trends and generally have the resources to implement, and from time to time, perfect the idea.
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