What key aspect of the supply chain should an entrepreneur address when partnering with a manufacturer for a new product?

When partnering with a manufacturer for a new product, negotiating costs is a key aspect of the supply chain that an entrepreneur should prioritize. This involves understanding and agreeing upon the costs associated with production, which can significantly affect the overall pricing of the product in the market.

Controlling production costs is crucial for maintaining profit margins, and it ensures that the pricing strategy aligns with market expectations and competitor pricing. By negotiating favorable costs with the manufacturer, an entrepreneur can also achieve better flexibility in pricing strategies, allowing for adjustments based on demand, competitive landscape, or changing market conditions.

Strong cost negotiations can also lead to long-term relationships with manufacturers, promoting better terms and conditions over time. This consideration is integral to developing a solid foundation for the supply chain, as it directly influences financial health and operational efficiency.

Addressing other aspects like marketing strategies, distribution channels, and sales tactics is indeed important but comes into play after the fundamental cost structure has been established with the manufacturer. These elements, while interrelated, depend heavily on the viability of the product's production costs and pricing strategy.