Eight years ago, we were in the thick of the last industrial recession. Most distributors enjoyed a good run during the last half of the 1990s; sales were strong. Then the bottom fell out, and the channel compressed.
Distributors focused on profitability survived and were well-positioned for the several years of strong growth. It’s interesting to note that many economists (as well as General Electric’s CEO at the time, Jeffrey Immelt) predicted a long-term low- or even no-growth environment in 2002. And then most distributors enjoyed the best stretch of growth in their history.
