Airwide International

Airwide manufactures a broad line of heating, ventilation, air conditioning (HVAC) products. The Italian director of Sales and Marketing for Residential and Light Commercial is reviewing the company’s channel management policies. The Italian market is currently served by three master-distributors who have geographic responsibility for the North, Central, and South regions of Italy, and accounts for 85 percent of Airwide sales in Italy. The balance is sold by small dealers, remnants of an early channel management arrangement. Nuova Climatizzazione, the dealer based in Genova, has approached Airwide with a proposal to have their reseller discount be equaled to a master distributor’s. Airwide’s management must examine the decision and consider the implications for their channel strategy and partnership arrangements.