bigedmustafa
Posts: 2506
Joined: 6/19/2005 From: Omaha,
NE, USA Status: offline
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quote:
ORIGINAL: SigMan service means adding employes, they wanna sell it and forget it..tower thinks like the big box stores, sams, best buy, costco. they really dont want to be your neighborhood hobby shop. and thats a good thing...i think I don't think that's what is really going on here. I think Tower Hobbies carries engine brands like Magnum and Thunder Tiger to meet demands from their customers. Magnum and Thunder Tiger are both represented of "value class" four strokes, and the TT Pro .40 2-stroke is an exclusive engine for a particular level of AMA sanctioned pylon racing. Tower's customers would be buying Magnum and TT engines regardless of whether or not Tower was supplying them. They provide a good retail outlet for smaller distributors like ACE or Global, and it gives them a chance to sell a Great Planes or Hobbico ARF along with that Magnum or Thunder Tiger engine. If Tower didn't carry them, more of those engines would be going into Model Tech, Sportsman Aviation, or Thunder Tiger/ACE ARFs instead of Great Planes airframes. The Hobbico juggernaut has plenty invested in supporting O.S. Max, Super Tigre, Tower Hobbies, and GMS engines. They let Magnum's and Thunder Tiger's distributors support their own products. Tower would rather sell their own lines of engines as they're certainly more profitable for Hobbico as a whole. Selling a less profitable engine is better than not selling an engine at all, and is good for Tower's long-term financial health. I'm a bit surprised that Horizon has shrunk their own engine lines to where they are pretty much distributing Evo and Saito almost exclusively now. The Webra and MDS product lines allowed them to throw a much larger net than they have currently. Then again, it seems they're doing a good job at building the Evolution brand by concentrating on it as much as they have. Maybe less is more.
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To a tree, balsa wood and MonoKote taste just like chicken!
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