Business Information

Archive for the ‘economic conditions’ Category

In this contribution, I will discuss them, but instead to explain the traditional way by giving its definition, I will propose them as different solutions to address the current situation of economic crisis. In addition, although any company (large, small, individual or company) could choose any of them, I find most useful book of concentration for the case of individual companies starting their business.

The current crisis is characterized by stagnant economic activity. To oversimplify, the sequence of events was as follows: No new loans and credits, demand has declined, companies sell less and are in the need to close, leading to rising unemployment and a further decline demand.

Besides macroeconomic measures can be taken to try to resolve the crisis, individuals may also launch a series of actions that allow them to just break the vicious circle that can convert the sequence of events (low-demand unemployment, reduced demand).

In the current crisis, firms face a smaller demand, the need to divide among the same competitors a number of smaller customers. Clearly, if the smaller number of customers opting for the product from a company, not its competitors, it has to offer something that makes it more attractive. In addition, the things that make customers opt for a product can be summarized in two: a lower price or a product feature that welcomes and appreciates and cannot find in other brand products.

Multilevel marketing.

1. The multilevel sales is a special form of trade in which a manufacturer or wholesaler sells its products or services to consumers through a network of dealers and / or independent sales agents, but coordinated within a commercial network, whose Economic benefits are obtained by a single margin on the retail price, which is distributed by charging variable rates on the total revenue generated by all consumers and merchants and / or integrated into the independent distributors commercial network, with the volume of business that each component has been created.

2. among the manufacturer or wholesaler and the consumer is permissible only the existence of a distributor.

3. It is prohibited to organize the marketing of products and services when:

a) The economic benefits of the sales organization and not from the sale or service distributed to end users but the addition of new vendors, or

b) not adequately ensure that distributors have the appropriate labor contract or comply with legal requirements that are required for the development of a business.

c) There is a requirement for a minimum purchase of products distributed by the new vendors without repurchase under the same conditions.

April. In no event shall the manufacturer or wholesaler network operator may impose the same access to the payment of a fee or entry fee is not equivalent to the products and promotional materials, or training information available at a price similar to other homologous on the market and shall not exceed the amount determined by regulation.

The study UPS Business Monitor Latin America (LAMF), now in its fourth edition, shows that small and Medium Enterprises (Sees) in Latin America are finally seeing signs of recovery for the first time since 2008. The study shows that nearly 80 percent of Sibs surveyed projected an economic improvement over the next 12 months – and are planning accordingly. Although they have not returned to the performance levels seen before the crisis, Sees have confirmed a significant decline in labor force reductions and placed the Marketing and Sales as its main investment priorities for 2011, and include the administration of the supply chain as a strategy to increase their competitiveness.

“The study’s findings are the latest LAMF very optimistic considering that economic conditions for Sees in Latin America are improving, and are seeing opportunities for future growth,” said Romaine Sequin, President, and UPS Americas. “Sibs are stabilizing their workforce and are ready to invest in strategies that will help them take advantage of the boom that will bring 2011. The study LAMF is a resource that offers businesses of all sizes to help you stay aware of opportunities and trends in their region to enable them to develop business strategies that will enable them to grow their revenue. “

Since 2006, UPS made the study LAMF among the leaders of Sees for the views, attitudes and practices of decision makers in the region. The 2010 edition of LAMF was developed with the participation of over 800 Sees surveyed in seven countries in the region: Argentina, Brazil, Chile, Colombia, Costa Rica, Dominican Republic and Mexico.