THE IMPACT OF PRICING STRATEGY IN INCREASING SALES VOLUME (THE CASE IN FIREDERIK FACTORY PLC IN WOLKITE BRANCH)

Abstract

The study was conducted to evaluate the impact of pricing strategy of Firederik Furniture Factory PLC in Wolkite Branch. The purpose of the study was tried to evaluate how the factory use its price strategy, in order to increase sales volume by satisfying its customer and compute with competitors. This study important for researcher, company, and other by changing theoretical knowledge into practical skill and know the impact of pricing strategies. The researcher would use both primary and secondary data to identify the problems that help for pricing strategy. Primary data would collected by using questionnaires and interviews, secondary data also collected from the written document and website of the company and related literature reviews. The researcher would use simple random sampling technique from probability sampling techniques. The data analysis method would use descriptive method to describing the impact of pricing strategy on sales volume of the company. The researcher would collect data from customers, employees, and managers' of Firederik Furniture Factory finally; the researcher was concluded based on the finding that. So among the total respondents most of the respondents 23(48%) of the customers was dissatisfied by current pricing strategy of the factory.so that the researcher recommended that. The factory should be adjusted or improve its current pricing strategy to retain loyal customers and to attract potential and also 6 (55%) of them were said that the current pricing strategy of the factory affect its sales volume by decreasing sales volume. So that the researcher recommended that the factory’s sales goals can be achieved by current pricing strategy like using promotional pricing strategies. And also the factory should understand the effects of pricing strategy on sales volume.