Most businesses have their peaks and troughs, a period where everything is busy and where everything is not. There are a few businesses that rely on the-so-called ‘busy period”s profit to cover up the rest of the quite period. Usually those businesses have to strive to do their best in order to get the maximum amount of profit to survive throughout the year, it’s a tough business for most of the people.
Most businesses have their busiest time during holiday, a certain holiday such as christmas works the best for some businesses, all usually depends on what type of business you are in or what products are you selling.
Making a maximum amount of profit, means cutting costs. Costs can be reduced by using resources as efficiently as possible, not wasting any but not paying extras. Which might have brought questions to some people? How’d they manage to do that?
Years of experience help businesses to devise staffing, cashflow and stock plans that help them cope with whatever the peak times throw at them, so most businesses are already prepared even long before their peak time.
But as these businesses seek for the cheapest costs, that means that they are trying to get rid off the costs that they deemed as unnecessary for their short term goal, which is to maximize their profit at least by the end of their peak period. But Does that affect anything at all? the quality of their business? How about the employees’ motivation? or customers services? loyalty?