Pricing with Confidence: 10 Ways to Stop Leaving Money on the Table by Reed Holden & Mark Burton

Author:Reed Holden & Mark Burton [Holden, Reed]
Language: eng
Format: mobi
Publisher: Wiley
Published: 2009-05-17T14:00:00+00:00

We know that profit analysis is rarely as simple as this. Your costing systems are much more complex and show much more detail. But the point we want to make applies equally to both simple and complex analyses: managers often sacrifice profits for the sake of revenue. They factor in all kinds of justifications as to why lower profits are desirable or even unavoidable. We’ve heard all the excuses. Customers are smarter. Competitors are more aggressive. Products are becoming commoditized. The list of reasons is longer than this book. Some of them are even valid. Sure, it is harder to negotiate. Customers have better information. All true. But the reality is that managers need to focus on the profits of a product line as well as on the sales revenue.

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