Rolex Needs a New Business Model

[Gab27]

It would make more sense to eliminate ADs entirely and go to a direct sales model. And that doesn't make a ton of sense either.

I don't think Rolex has much issue with ADs choosing who they sell to and under what financial situations the AD sells, provided they sell a specific watch for MSRP. If they hold all of their stock in the back and sell only to specific customers, they seem to be fine with this.

The only question they are probably grappling with is how much the current situation will tarnish their brand image in the long run and if this justifies any further action. Thus far, we have not seen any indication that they feel that it does.