Why the Cheapest Supplier Is Rarely the Cheapest, with Carl Pradelli, CEO of Nature City

Carl Pradelli was 18 months into building a co-branded skincare line with the Home Shopping Network when the first production run came back wrong. Ingredients specified at five percent had gone in at one. Ingredients specified at one had gone in at five. The same women who had praised the samples now reported the product was making things worse. Learn more at https://www.markgraban.com/mistake362 The contract manufacturer had come recommended by an acquaintance of one of Carl's partners. He had visited the facility and found real credentials -- FDA certifications, inspections, everything he expected. What he had not done was his own due diligence on a decision capable of making or breaking the business. When he brought the batch records back, the manufacturer did not offer to remake the product. They argued it was not as bad as he thought. Then their accounting department called about payment. Carl is co-founder and CEO of Nature City, the direct-to-consumer supplements company he and his wife Beth started in 2002. He spent 12 years in investment banking and private equity before that. In this episode he explains why he has used the same manufacturer for more than 20 years instead of quoting every job to three vendors, why the dime you save per bottle evaporates the moment something goes wrong, and where quality failures enter a supply chain at the supplier, manufacturer, and brand owner levels. He also shares how he handles it when someone on his own team makes a mistake -- and why hiding one is the only version that worries him.