On 2010-02-05 4:30, Anthony Farr wrote:
After ploughing through this thread I'm drawn to one recurring reference, which is to "unprofitable customers". Forgive me for asking, but doesn't the store and not the customer decide what deals will be offered for sale?
First, you're right. Second, I'm not coming at it from the retail side, where my only experience is working in high school as a stock boy for a pharmacy. I'm coming at it from the environment of companies, especially start ups, producing computer hardware systems, software systems, and services. I've seen way too many cases of closing a "big" contract just to get the cash flow. Then the costs of supporting that customer or contract go far out of balance with the income, or even cash flow, resulting from the sale. This happens for a variety of reasons. Sometimes, though, it's due to an unreasonable customer. Some customers in that environment end up being so expensive to keep that you could never get them to agree to a contract that would allow the deal to be profitable for the seller. However, you're right that the burden is on the seller.
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