In class theories Flashcards
Management
The process of dealing with controlling things and people
Sales Manager Responsible For:
P: Planning
O: Organization
P: Performance
What is the management process?
- Planning
a. Set goals
b. Determine strategies - Implementation
a. Organize
b. Staff
c. Operate - Evaluation
a. Compare operating results with your goals
5 Primary Functions of a Sales Manager:
- Planning
- Staffing (who are you going to use and how)
- Training
- Leading
- Controlling
GMC Guerilla marketing campaign
An unconventional way of performing marketing activities on a very low budget.
Market penetration
the measure of how much a product or service is being used by customers compared to the total estimated market for that product or service.
The 2 Types of Selling
Transitional Selling
Transactional Selling
Transitional Selling
- Return existing…
- Become the preferred supplier
- Price for Profit
- Manage for the long run
- Concentrate on high paying accounts
Purpose: To build long term relationships for a long term profit.
Transactional Selling
Transactional selling is focused on individual transactions or one-time sales. The emphasis is on closing deals quickly and efficiently.
- Get the account
- Get the order
- Cut price to get the order
- Manage to the Max
- Sell to all who can pay
Purpose: To get the client and make a profit.
Which selling method is better?
Transactional Selling
Transitional Selling
Transitional you can create long-term lasting customer relationships, resulting in secure long-term profit. It’s a better long term approach. Whereas transactional selling only cares about making money. It’s aggressive, a better short term approach.
It’s ideally best to have a combination of both of these selling tactics. The pareto principle 80/20 rule. 80% from your business comes from 20% of your customers. Therefore, it’s better to return customers than gain new ones.
Pareto Principle: 80 - 20 rule:
80 % of your business comes from 20 % of your customers.
Ethics: “The likelihood of unethical behaviour is directly proportional to the size of the carrot.”
How likely something is to be unethical is directly related to what they’d gain (the carrot is money)M
Business ethics
The moral principles and values applied to situations arising in a business setting.
refers to the moral principles and values that guide the behavior and decision-making processes of individuals and organizations in the business context. It involves considering not only economic and legal responsibilities, but also ethical and social responsibilities towards various stakeholders,
Net discount
the final amount by which the original price of a product or service is reduced after all applicable discounts, allowances, or rebates have been applied. It represents the actual cost or price that a buyer pays after accounting for all deductions.
= the total discount
VCB
Vendor Charge Back, negotiate I will buy 500 units provided at the end at the season I can return 20% of the unsold. Very good one. Negotiate the percentage you can return.
