part 3

Question 1

(Steps) Increasing Sales,

Answer 1

Step 1: Determine Goals/Objectives for Sales Growth

• Is there a focus on profits
• Industry/Company Performance

Step 2: Determine Appropriate Actions to Increase Sales

• Increase Volume of Sales
• Increase Amount of Each Sale
• Increase Prices
• Create Seasonal Balance

Question 2

(Steps) Reducing Costs

Answer 2

Step 1: Ask for a Breakdown of Costs

Step 2: Investigate any costs that seem out of line

Step 3: Benchmark the Competitors

Step 4: Determine whether there are any labor-saving technologies that would help reduce costs

Question 3

(Steps) Improving the Bottom Line

Answer 3

Profits,E ( P = R - C ) M

Step 1: Using the Framework, start by identifying all external factors (economy/market)

Step 2: Identify Major Revenue Streams and how they have Changed Over Time

Step 3: Identify Major Costs (Fixed/Variable) and how they have Changed Over Time

Step 4: Determine if you want to Increase the Sales Volume, if so:

• Expand into New Areas/Markets
• Increase Sales Force
• Increase Marketing
• Reduce Prices
• Improve Customer Service