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Autodesk India is Bringing Unhealthy Business Practice in India

FAIITA is considering boycotting Autodesk and Ingram Micro, their distributor, has also halted all distributions

Autodesk, the software providers for manufacturing, architecture, building, construction, media and entertainment industries, is trying to create unhealthy business atmosphere for the Indian channel partners by offering 20% lower price for online purchase. This is not only demotivating the partners but also creating uncertainty among the channel partners.

Autodesk has put the channel in a situation where it is forced to bear with price reduction for 7 days every month to help them scale up their online sales to 50% of total sales. Currently their online sales are at a mere 5%. This is an attempt on the part of the company to steadily shift to solely online buying.

As for the AutoCAD LT the partner RTP, the offline price is Rs. 17464. Whereas Autodesk is selling it online at Rs. 14318. Autodesk’s strategy seems to attract the customers through the difference in the online v/s offline prices. This will inadvertently result in the customers shifting to the online buying process which would be the doom of the offline software channel.

FAIITA is considering boycotting Autodesk from the channel if Autodesk does not take immediate corrective measures. Ingram Micro, their distributor, has also halted all distributions in retaliation to Autodesk’s move.

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