Corrective action is taken when expenses are over budget. Owner prepares budget. The budget is realistic. The company has a pricing policy. Products or services are competitively priced.
Business provides volume discounts.
Prices are increased when warranted. There is a relationship between pricing changes and sales volume. New prices are placed on last-in goods when the price on old stock gets changed. A good mission statement tells why the business exists and defines its market niche. The mission statement is the foundation, upon which the business is built.