Black & Decker, Inc. A Case StudyBlack & Decker operates globally and is divided into four operating regions: NorthAmerica, South America, Europe and Asia. Black & Decker is in the power toolbusiness supplying these products to large retailers around the world and is one ofthe top suppliers in its industry. It holds different supplier positions in each of itsregions but is strongest in North America and Europe.Black & Decker measures its customers on revenue, its key accounts for each regionand countries represent around $65\%$ of their total business. In Quarter $42018,$ Black& Decker conducted a detailed profitability study and implemented a model tomeasure key account profitability each month.The key account in this case study is Home Depot, number three by revenue in theNorth American region and number two in Canada. This Key Account $($HomeDepot$)$ is significantly more profitable than the average because it requires very littlemanagement and requires few high cost support services. The relationship is longterm and very positive. The business has been stable for the past five years. Black &Decker manages its key accounts by region and by country therefore there is both aregional major key account representative in North America and a Canadian keyaccount manager for Home Depot who manages this client across Canada.In Canada where Home Depot is the second largest customer, a new GeneralManager was appointed in March $2017.$ Black & Deckers Canadian key accountmanager received a letter in early September $2017$ signed by the new GeneralManager saying that he was giving advance notice to all suppliers that he wouldrequire them to cut prices by a significant amount by the end of the first Quarter.The amount of the price cut demanded was not specified.Key Account Management $-$ BCIT MKTG $33322$The Canadian key account manager has enjoyed a very good relationship with theprimary Senior Buyer of Home Depot $($confirmed as part of the Key Accountplanning assessment in Q$4$ of $2018).$ The other contacts in Home Depot are theproduct selection managers in the local stores who are visited as required. The NorthAmerican major key account manager at Black & Decker is new in his position andis not involved in establishing a pricing model per country, they are agreed to withineach country.Current SituationHaving received the letter, the Canadian key account manager called the SeniorBuyer. He was not able to get much more information other than the Senior Buyerconfirming that the new General Manager was making very aggressive demandsthroughout the company and there was concern that internal cuts and redundancieswould be made.The Key Account Manager and Senior Buyer for Home Depot have agreed to meetat the end of October to review the situation. The Senior Buyer thinks he may havemore information by this time.QuestionWhat should the Key Account Manager do before the meeting with the Senior Buyer?Please respond in the Module $5$ Black & Decker Discussion Forum with a maximum oftwo paragraphs.Note: The answer will be posted in the Module $5$ Content section at the start of Week $6.$