We launched our consortia program in 2005 and today have hundreds of PE portfolio company participants. We fully manage our programs and they are a great way to get early wins. In addition to our standard programs, we also develop “private” programs for a PE firm. For example, when a cross-portfolio sourcing project results in a new vendor relationship, we can actively manage it for the life of the contract, giving you the best of all worlds—a program custom designed for you and long-term sustainability. Plus we offer unique Category Management technology that no other consortia offers.
Depending on the price elasticities of demand and supply, who bears more of the tax or who receives more of the subsidy may differ. Where the supply curve is less elastic than the demand curve, producers bear more of the tax and receive more of the subsidy than consumers as the difference between the price producers receive and the initial market price is greater than the difference borne by consumers. Where the demand curve is more inelastic than the supply curve, the consumers bear more of the tax and receive more of the subsidy as the difference between the price consumers pay and the initial market price is greater than the difference borne by producers.