HBR 20-Minute Manager Boxed Set (10 Books) (HBR 20-Minute Manager Series)

Preparing a Budget

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2014? How much more would you have to spend on

sales or marketing to achieve this increase? To make

the decision, you’ll need as much data as you can get

about pricing, competitors, new sales channels, and

other relevant issues.

Alternatively, you might plan to eliminate some

products. The Electro-Revolving model, for example,

is faring poorly. Would it be better to cut this line and

promote the newer Hall/Wall model? That would

eliminate $81,250 in sales, but the Electro-Revolving

is expensive to produce, so discontinuation might not

have much impact on the bottom line.

Other questions to ask yourself:

• Will you keep prices the same, lower them, or

raise them? A price increase of 3% might offset

the budget’s 2013 sales ...