Diversification Models of Sales Activity for Steady Development of an Enterprise
AbstractThe paper substantiates the importance of the optimal directionality choice of sales activity as one of the main lines of enterprise activity, the functioning of which should be complete, synchronous and complementary. Diversification is one of the powerful instruments to ensure the steady development of the sales activity of an enterprise. Three models of sales activity diversification of an enterprise are developed. The first model is based on unveiling the potential of sales channels and allows us to show the peculiarities of their use. The second model of the optimal quantitative distribution of production between sales channels is based on profit maximization. This approach not only takes into account the evaluation of the prescribed parameters of sales channels, but also provides the high profitability of each assortment item and of the whole enterprise. The third model of the optimal distribution of production between sales channels accounts for the experience of collaboration between the enterprise and sales channels during the past period and ensures the minimal risk and appropriate profitability for each sales channel. The proposed models are tested and compared to actual data of the enterprise; the advantages and peculiarities of each model are discussed. View Full-Text
Share & Cite This Article
Shpak, N.; Kyrylych, T.; Greblikaitė, J. Diversification Models of Sales Activity for Steady Development of an Enterprise. Sustainability 2016, 8, 393.
Shpak N, Kyrylych T, Greblikaitė J. Diversification Models of Sales Activity for Steady Development of an Enterprise. Sustainability. 2016; 8(4):393.Chicago/Turabian Style
Shpak, Nestor; Kyrylych, Tamara; Greblikaitė, Jolita. 2016. "Diversification Models of Sales Activity for Steady Development of an Enterprise." Sustainability 8, no. 4: 393.
Note that from the first issue of 2016, MDPI journals use article numbers instead of page numbers. See further details here.