Case Study
Mr. John joined the Organic Foods Ltd. as a sales officer in 2016. Being an intelligent and hardworking man, he earned quick promotions and in 2020 he was promoted as sales manager of the company. Soon after taking over as the sales manager, he issued an order that hence forth every order from dealers should be supplied against advance payment. The dealers who had enjoyed credit facility for the last 20 years felt cheated but they had no alternative as the company’s products were selling like hot cakes. Mr. John felt that there was no need for heavy advertising because the company was not able to meet the present level of demand. Therefore, he reduced the advertising budget to half of the previous level. He also scrapped the incentive bonus for salesmen.
Questions:
1. Analyze the activities of Mr. John in terms of managerial functions.
2. Which of his activity was not a managerial function?
3. Do you think the steps taken by him were right?
Answers
Answered by
5
a) he issued a order hence forth every orders of dealers should be supplied against advance payment
b) he scrapping the incentive bonus of salesmen
c) yes steps taken by him were right as he helped the company a lot
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