THE BUSINESS VALUE

Abstract

Almost every sales opportunity required us to get involved with ourcustomer`s finance department to develop a business case or costjustification. Business acumen (an understanding of how business works) ismore than just knowing words and their definitions; it`s understanding thatpoor inventory control has a negative impact on order fill-rates. When orderfill-rates fall, customer loyalty suffers, as do accounts receivable. Whenaccounts receivable get out hand, cash flow is impacted. Then a companymight have to dip into lines of credit to cover short-term obligations, and theinterest that has to be paid on that borrowed money erodes profitability. Wecall this the “cause and effect of business”.

Keywords

• business value
• consumer satisfaction
• consumer fidelity
• relationship marketing