Lancer Gallery case
* Lancer Gallery is a company that specialize itself as a reputable dealer in authentic artifacts from Southwestern United States, South American and African. Their reputation over the past several decades increasingly grew amongst the public through various pieces they placed for sale, as they were carefully verified for authenticity. Eventually, Lancer Gallery was able to expand their product lines to include replicas that were created by craftspeople who crafted them similarly to the original. If Lancer accepts the ...view middle of the document...
They are making money through third parties such as department stores and expanding to other countries. They have increased their revenue to about 35 million a year and continue to increase at 20 percent a year. This is mainly because of their distributors who produce their product line in replicas. They also are doing well because they have locations in 3 major cities: LA, Boston and Miami.
* Lancer’s distinctive competency is based on their ability to be well qualified as a company who prides themselves on authentic jewelry and pottery. They are not like other companies who have similar products but not authentic. They have a partnership with people who hand make some of their products from different companies which makes them a unique company.
* Lancer should accept the contract epilogue if they can keep their company how it is. If they do not have to make their replicas three times more than what it is now and keep their founding distributors then accept it. It is okay to give up some of the company if it will bring in 4 million dollars but not under the terms of changing the mission statement of the company. Lancer gallery has founded their business on having authentic jewelry and pottery. They do not have to give that up to generate more revenue because if they still keep things the same they are already increasing revenue at a 20 percent constant rate.