The 3rd part of the program that Northwest Industries plans to differentiate in is have more high-end and more expensive scooters, they don’t plan to sell poor quality scooters. This will be enticing to the dealerships as they know the scooters will be reliable and they know they’ll make more money off each transaction. Having a high quality product will also increase customer satisfaction and increase the likelihood of return business and referrals. On the flipside, the negative effect that higher pricing could have is lower sales. “Cheaper doesn’t always necessarily mean better, quality always has a place in the consumer market”, (Gilbreath, 2010, pg. 217). The price tag is often the biggest factor in purchasing a product and Northwest Industries could lose sales as customers purchased cheaper scooters.

Northwest Industries would need to get a comparison chart of its sales in relation to competitor sales within the dealership. Other competitors can have more sales, just as long as Northwest Industries would be making more revenue. Any inventory that’s left on the shelf or back in the warehouse is money spent and wasted. The ideal process is to have the right amount of inflow and outflow so that inventory levels are fluid. This is why inventory management is so important.