Abstract

A trading company should be viewed as a complex system of organization that operates in a dynamic and multi-conditioned business environment, with the aim of creating economic value for its owners and for the consumers themselves. Constant changes in the environment determine the opportunities, dangers and limitations for trading companies. Therefore, it is necessary for a trading company to precisely define and at the same time realize a number of goals that are mutually compatible and integrated. Since the company is established for the purpose of achieving certain economic and other goals, all procedures, activities and activities of the company and all holders of functions in the process of its business are goal-oriented and oriented. From the point of view of creating the sales policy of trade companies, the margin is of special importance, as the difference in the price that the trade adds to the purchase price in order to cover its costs. Regardless of whether the margin is administratively determined or is formed freely, sales prices are different. This means that, in the system of free margin formation, trade independently determines the difference in price, starting from business costs, planned profit and market conditions.

Highlights

  • Trade companies as well as companies from other areas of business must take into account the achieved productivity; the financial position of the trade; financial structure; trade liquidity; property and capital structures; economy, profitability and turnover in trade, trade margin and investment[1]

  • The consumer is of key importance for the decision made by the trader about the price of the goods

  • In the system of free margin formation, trade independently determines the difference in price, starting from business costs, planned profit and market conditions

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Summary

INTRODUCTION

Trade companies as well as companies from other areas of business must take into account the achieved productivity; the financial position of the trade; financial structure; trade liquidity; property and capital structures; economy, profitability and turnover in trade, trade margin and investment[1]. Trade is an economic activity that deals with the purchase of goods for sale and making a profit. It is a “bridge” that connects producers and consumers. The formation of the price of goods is influenced by: the consumer, the trader (trading company) and its needs, as well as competition. The profit of a trading company is affected, by the price at which it sells goods, and by its purchase price, as well as operating costs and turnover. One must take into account the purchase prices, trade margins that are added to them and the formed sales prices

SALES PRICE CALCULATION IN TRADING COMPANIES
PRICING STRATEGIES
THE PRICE Low High
CONCLUSION
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