You are the manager of a computer software company, and one of your sales people has just solda large order to a new customer whose business you have tried to obtain for years. Unfortunately,the salesperson made a mistake writing out the invoice, undercharging the customer $429. Atthat price, your company would not break even. Before you can respond to this situation, youmust decide whether you should ask for the $429 or just “write it off” in the interest of keeping avaluable new customer. Once you have made your decision, write the following documents:1. A letter to the new customer, asking for the $429 and explaining the problem, whilestill projecting an image of your company as accurate, professional, and verycompetitive.OR2. A letter to the new customer, not asking for the $429 but explaining the mistake (so he/she will not assume all future business dealings with your firm will be offered at such”below market” rates) and emphasizing that your company is both competitive andprofessional.AND3. An email to your boss explaining the situation, how you decided to resolve the situation (and why), and what action you took.AND4. A memo (no more than one page) to the salesperson who made the mistake, asking him or her to take appropriate action with regard to the new customer.
Solution Preview:
I am compelled to express concern over pricing quote given to a new customer (Mr Wincey) in a new project. You should know that we are not able to meet our breakeven also for this project. You have undercharged Mr Wincey $429 which seems to be a loss for the company. As we know, it is very important and difficult to attract new customers but at the same time it is very important to finalise the deal at the right quote. It is great of you to crack a deal with him since we were trying for a new project from him over a long period of time. It is very important to price rightly to any new customer. We have to meet our breakeven at least and then charge him. I am concerned about how the recent situation was handled.
