Question

4. There are several factors influencing sales revenue of organizations. Identify and explain any of these factors in terms of relationship with sales

Answer 1

There are several factors that impact the sale revenue of an organization. These are:

-- Consumers and institutional buyer expectations: In the competitive market, the consumers preferences and expectations in terms of prices, packaging, new features, delivery, after sales services keep on changing with the time and creates a huge impact on the demand of product; and consequently impacts the sales revenue

-- Economic Cycle: The country's economy experiences different phases such as expansion, growth, and recession. The product demand depends upon which phase is prevalent in the economy. When there is a recession, the money supply shrinks as the economy contracts thus there will be lesser sales; and on contrast when there is a growth phase the sales are robust.

-- Technology and Automation: An up gradation of technology helps in achieving the higher sales growth.

-- Marketing: An effective and creative marketing strategy helps in winning over more customers and sales revenue for company

-- Company’s product: When the product is as per the requirements of people it will ensure good sales revenue

-- Integration with suppliers: A strong network of suppliers for sourcing raw materials has a huge impact on the sale revenue because the raw materials availability at right time ensures a continuous production process and generating the sales revenue