As mentioned earlier it is important for the Valkyrie Lighting Corporation to improve its relationship with the Sunshine Corporation in order to not lose the company to its competitors which can prove to be a large setback for the Valkyrie Lighting Corporation.
Currently the relationship between the two companies is based on the formal agreement as signed by the two heads of the companies. However with the increased dynamicity in the industry and the faltering deliveries and commitments by the Sunshine Company, it has now become important for the management at the Valkyrie Lighting Corporation to actively take part strengthening the relationship between the two companies.
The strategies that can be utilized by the Valkyrie Lighting Corporation pertain to reforming and resetting the contract for the procurement of the products, whereby the Sunshine Corporation will have to provide the Valkyrie Lighting Corporation with products and components in a timely mannered as pre-agreed at the time of the order placement. In order for such an agreement to be made, the Valkyrie Lighting Corporation will have to provide the Sunshine Corporation with an incentive to work towards its commitments. This would involve providing the Sunshine Corporation with better rates, reducing the inventory costs in the current supply chain and channel these savings as high rate incentives to the Sunshine Corporation. Aside from this the Valkyrie Lighting Corporation can also advertise in the market the relationship between the two companies. The Valkyrie Lighting Corporation also as the option to provide the Sunshine corporation with a dedicated production line, by financing it, for its components, to increase its production capacity. This would provide the Sunshine Company with a reason for staying in contract with the Valkyrie Lighting Corporation and to provide them with the delivery of their orders and components in a timely fashion.