Are your pricing practices undisciplined?
When I talk about being undisciplined I am speaking about being disorderly or out of control.
Let me give you an example; a close friend comes into your business and you give him a better price than an ‘ordinary’ customer. This is disorderly for a number of reasons;
- They probably didn’t ask for any type of a discount as they are buying from you because they trust you.
- You have decreased your profit margin for no good reason.
In business we have to create pricing based on your costs to do business. If you chose not to price according to your costs of doing business and wanting to make a profit that is your choice.
The question becomes, why are you in business?
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