Do Business Well

9. Strategic divisionalising of the policy

Your pricing policies are first and foremost intended to result in a profit for your company. There are several instances where an adjustment in price can achieve a particular objective, such as:

• the maintenance of present activity levels;
• to dispose of slow moving stock;
• to introduce a new product to the market;
• to deter the competition;
• to increase the sales of other products by the use of loss leaders.

You should always proceed with utmost caution and remember that the main objective is to achieve a profit for each and every item you sell. Continue Reading »

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Companies can increase profit either by cost reduction or by margin improvements. Margin improvement or improvement in the gross profit can be achieved either by increasing unit selling prices or by increasing sales volume (this includes the possibility of reducing unit selling prices in order to be more competitive and increase sales volume).

Selling prices are affected by supply, demand and cost conditions. All companies need to ensure that their pricing policy gives the best opportunity for maximising sales and profits.

1. Keep pace with inflation

The inflation rate is the percentage rate per period that prices are increasing and should provide a guideline to the level of price increases generally. Continue Reading »

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1. What is your organisation’s attitude towards sexism and sexual harassment?
2. Summarise your organisation’s written policy on sexual harassment.
3. If it doesn’t have a policy, who should you choose to make management aware of the problem?
4. How should you go about this and by when?

An organisational policy is essential. But the real onus of minimising the possibility of being harassed is on you. Here is some sound advice:

Maintain a good self-image

Know yourself. Value yourself. Remember that you have a right to be taken seriously in the workplace. Continue Reading »

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