Advisory opinion letter
Opening text: WITH REQUESTS THEREFOR 1741. Letter of Request May 11, 1970
77 F.T.C. 1741 · May 11, 1970 ·
source volume section (77 F.T.C. 1741)
Text is machine-OCR of the printed volume and may contain errors. Advisory opinions are the Commission's views on proposed conduct, not binding orders.
ADVISORY OPINIONS WITH REQUESTS THEREFOR 1741.
Letter of Request
May 11, 1970.
Gentlemen :
We are anticipating the publication of a monthly activities report, similar to the Dodge Report in the building industry. This publication, however, would be listing the needs of Original Equipment Manufacturers in the area of metal fabrication. As we see it, at present, original equipment manufacturers are accepting quotes or bids from only a small number of suppliers for their metal fabrication requirements. This, we feel, is because the original equipment manufacturer is not fully aware of the many metal fabrication suppliers who have the facilities and knowhow to. quote on their requirements. — , By the same token, the metal fabrication supphers are not aware of the many original equipment manufacturers who have a definite need for their products at any given time. We propose to approach all of the original equipment manufac-. turers in Ohio to request from them what their monthly needs are in the metal fabrication field.
Our next step would be to tabulate their individual needs in the same manner as Dodge Report, and then publish and put on the market, the results of these tabulations.
This would allow any interested metal fabrication supplier, his: salesmen or representatives to purchase this report monthly at a very low dollar amount. This, in turn, would provide the metal fabrication supplier with an equal opportunity to bid or submit quotes to the original equipment manufacturers in Ohio. As we see it, this would fill a supply and demand need on a much. larger scale, and on a more competitive basis to both the original equipment manufacturer and the meta] fabrication supplier. Our concern at this pomt is whether the Jaw provides for such a publication ? ;
Ave the purchasing needs of a publicly held corporation public: knowledge? Does this violate any trade regulations? Ave there any regulations with which a publication of this nature must comply ? Is there such a service to the best of your knowledge ? Again, we wish to state that our main concern is to provide a greater opportunity for small metal fabrication suppliers to bid or submit quotes on original equipment manufacturers’ requirements, and to. 467--207-—78——111 provide the original equipment manufacturer with a greater variety of suppliers from which to choose.
For your information, we have been in metalworking market research for fifteen years and are well aware of this communications problem and, we feel this would be a fair and equitable approach to solving it.
Your prompt reply to our inquiry will be most appreciated. We shall
await word from you.
Sincerely,
JOHN E. REYNOLDS, INC.
John E. Reynolds