{"id":2272,"date":"2007-04-11T13:08:00","date_gmt":"2007-04-11T13:08:00","guid":{"rendered":"https:\/\/www.certitrek.com\/nlpa\/2007\/04\/11\/kick-a-supplier-when-it-is-down\/"},"modified":"2021-08-10T11:17:24","modified_gmt":"2021-08-10T15:17:24","slug":"kick-a-supplier-when-it-is-down","status":"publish","type":"post","link":"https:\/\/www.certitrek.com\/nlpa\/blog\/kick-a-supplier-when-it-is-down\/","title":{"rendered":"Kick A Supplier When It Is Down?"},"content":{"rendered":"

Sometimes suppliers run into rough times, even when they are performing adequately for you.<\/p>\n

So what do you do?<\/p>\n

Stick with the supplier you like? Or read the tea leaves and find a new supplier before things get bad?<\/p>\n

These types of questions were running through my mind when I read the article \u201cIs Your Force Majeure Clause Too Weak?<\/a>\u201d<\/p>\n

Vonage, as I understand it, is not yet profitable. And with the inability to sign up new customers in the near term, their future looks very bleak.<\/p>\n

So what are their customers to do?<\/p>\n

Should they hope that things will get worked out and everything will be fine? Or should they find a new supplier sooner rather than later to avoid the risk to their continuity of supply?<\/p>\n

Enough of their current customers will likely take the second option that it makes the first option even less attractive.<\/p>\n

The financially struggling supplier scenario frequently occurs in purchasing with all types of suppliers. You have to watch the news. While you have to avoid any knee-jerk reactions, you also have to seriously consider what your contingency plan<\/a> is, what will trigger you to execute it, and when.<\/p>\n

Recommended Reading<\/b><\/p>\n