When one conquests a new customer the first thing is to match product and price with the customers current supplier and then give added value to the customer to win the business.
That could be:-
-Product quality
-reliable supply
-Price
-just in time delivery service
-packaging
-additional services such as
laboratory analysis
participating in customers development program
trust etc.
These are the kind of details which are considered
"commercialin confidence"
LYC is likely to be a trusted supplier because they are
independant and not likely to pass confidential customer
information to others while Chinese suppliers are always
subject to Chinese Government market intelligence gathering.
So in summary, Lynas is more likely to offer their customers a better marketing mix than Chinese suppliers
and as such should obtain a premium price for their products.
Cheers
Moorookamick
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