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contract termination

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hurliman
Join Date: Nov 2006
Posts: 18 smithville, missouri
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2006-11-21          137213


yesterday Kioti management decided that they no longer wanted me for a dealer. 15 years selling their products, with never a complaint against me. Seems they want to dictate to me how many units to stock. If I would stock what they want, it would bankrupt me. Kioti is a wonderful tractor, but management has been on a downward spiral for several years now. I actually had given up about one year ago and just decided to sell off my remaining units, as I have a new tractor line now. As an example of Kioti management style, they terminated me yesterday, and today will terminate another dealer in missouri, leaving NO dealers for about 400 miles. Is this a brain fart or what! I have a DK55 cab tractor with ag tires and a Koyker 180 loader that I will not return, as I do not want to remove the loader. Anybody want a DEAL! I am in Smithville Missouri. 816-532-0100. Thanks for letting me ramble.

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contract termination

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Peters
Join Date: Feb 2002
Posts: 3034 Northern AL
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2006-11-21          137214


I understand. I have seen what the MBA marketing types have done to a lot of businesses in the country. I believe they are all interested in the numbers not the customer or building long term relationships. They probably have a new dealer lined up in the area with no tractor experience and promising the world. ....

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contract termination

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hurliman
Join Date: Nov 2006
Posts: 18 smithville, missouri
TractorPoint Premium Member -- 5 Tractors = Very Frequent Poster

2006-11-21          137221


You are right, however in Kioti's case, I think the only hope to continue on with their product is a name change and market them through a distributor and disassociate themselves from the old regime. They are too far down the old slippery slope. Fortunately, the new tractor line I have will have all the filters, starters, clutches etc, that will fit Kioti, as I have some very close friends that have bought Kioti from me, and I won't totally leave them holding the bag.
I helped set up another dealer some years ago to sell Kioti. they came here and looked at the tractors, drove them etc. I said that they couldn't find a better tractor, however, don't expect ANY help from Kioti. I mean sometimes the main office won't answer the phone. When You would get through, guess what? voicemail that would never be returned. Service reps with no knowledge of the product. I read a post about a loader with weak rollback power. Kioti had a fix for that, but they made the customer pay for their mistake in engineering! $699.00 or so. Well this dealer in Stillwell Kansas got fed up about three months ago, parked his inventory on the back lot and said come get them. Oh the strange ways of the oriental mind! More to follow, I'm sure. ....

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contract termination

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Peters
Join Date: Feb 2002
Posts: 3034 Northern AL
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2006-11-21          137226


I talked with Kioti a few years back about a dealership and looked closely at the line. At the time the new Kioti regime was taking over and they had grand plans. I know the area sales managers were given the control to close dealerships they thought did not follow the Kioti standards. I knew at the time these were evolving so?
I thought at the time the marketing plans for the US are some American MBA's not Korean. It certainly does not follow the normal Korean mode that I have seen. I have some connections to Samsung and Hyundai. I know they are quite loyal to their suppliers and vendors.
....

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kthompson
Join Date: Oct 2005
Posts: 5266 South Carolina
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2006-11-21          137230


hurliman

It is amazing the lack of common sense is this world. This type of action is not just limited to them. Agco did the same in my part of the world a few months ago. Terminated two of their best dealers from this consumer's point of view. It is also not limited to the tractor industry. See it often in mine business. Congratulations on reading the tea leaves and being prepared. Forgive my pun. ....

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earthwrks
Join Date: Dec 2003
Posts: 3853 Home Office in Flat Rock, Michigan
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2006-11-21          137256


I'm with KT and Peters: Seen it in automotive--I think this is where these dark ideas spawn actually---a dark cloud hangs over Detroit just for this purpose---for years they thought it was pollution!
Like Peters, I have worked with Toyota and Nissan. They are much much smarter and savvy than we give them credit. My feeling is it's the American division Manager--or Manglers--as I call them.
Ford recently declared it was ending many franchises with urban/suburban dealerships. The reason: Too many dealers in one locale caused ALL of them to drive prices down and make not as much money as they could if only ONE was there. Survival of the fittest? I don't know. I see the point but what about the guys who have everything invested in the dealership including the help? And who/what decides who gets to keep the "brass ring"? Politics? Kickbacks? I've been at high-level meetings with GM Program Management, and next-to-highest level of GM's legal team. You would not believe the cheating and kaniving that goes on behind supposed closed doors. ....

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kthompson
Join Date: Oct 2005
Posts: 5266 South Carolina
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2006-11-22          137275


As long as companies only look at short term gain and are willing to forget long term results you will see such. We Americans want it now. Other cultures are willing to work for it. ....

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nissan197
Join Date: Mar 2005
Posts: 16 kansas
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2006-11-27          137355


What line are you selling now? I looked at Kioti also, but the dealer on the Kansas side in the KC metro area quit selling for the same reason. ....

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hurliman
Join Date: Nov 2006
Posts: 18 smithville, missouri
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2006-11-27          137368


I had signed up with farmtrac back in april. One reason, the sales rep is a friend of mine. Another reason is they took over an Italian line of tractors that I had sold, third reason is the have all of the Kioti filters, and some other Kioti parts also. At least I can take care of most of my customers needs.
I had Blue valley eq. come up and look at my Kioti tractors when they were discussing delling them. I am an honest person, so I told the they were a great tractor, BUT, they would get no help from Kioti, I mean no help! The other reasons are too many to delve into here. Needless to say, they didn't listen. Men don't normally listen to other men, one of our faults I guess. They went into it whole hog for a few years, and one day, I called to discuss a problem with Kioti, and they said that they gave up and parked them all on the back of the lot. I have since learned that they will be selling Montana tractors. More to come later I'm sure. Thanks for listening. ....

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kthompson
Join Date: Oct 2005
Posts: 5266 South Carolina
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2006-11-27          137372


hurlman,

I have a friend who sells Farmtac and I have heard him over and over tell how long they have sold them and what repairs they have yet to make. He sure believes in them. He became a friend after I bought orange. ....

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