Mr. R.M. Jain joined the Fresh Foods Ltd. as a sales officer in 1995. Being an intelligent and
hardworking man, he earned quick promotions and in 2010 he was promoted 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. R.M. Jain 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. Analyse the activities of Mr. Jain 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
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Answer:
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. R.M. Jain 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.
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