acct wk6 discussions 494403

Student’s discussions: First post:  Budgeting in a sense is a way of maximizing profits or income.  It also allows a company to properly distribute it’s resources to optimize efficiency in the work place no matter what department it involves.  As simple as it may seem, there are many varibles that can greatly affect the profitable outcome, such as R&D, Staff size, business location, or whether or not it’s a manufacturing company, service enterprise etc.   Second post: Ever since watching the Southwest Airlines video in our chapter resources, it really amazed me how profitable Southwest remained even after the board decided to keep the free bags policy.  This approach may have been thought out to be risky, but in retrospect, it has been known that consumers go after the best deal possible anyway. As a frequent flyer myself, would love to see free bags (besides taking a military hop).  This brings up another airline company that I am really familiar with in which we;ve been using a lot during our travels here in Germany. Have you ever heard of RYAN AIR? It’s probably the best CHEAPEST airline company in the world.  With proper sacrifices, such as limiting your baggage size and not caring about driving a little ways away from a MAIN airport.  The flights are so cheap, for example. A flight from Munich to Rome round trip, cost 60 Euro.  Can you believe that?   Like Southwest, Ryan Air has found a way to maximize profits while maintaing a full plane, and charging the bare minimum.  In terms of why retailers pay more for cargo, it’s simple.  Without this resource, they would be dead in the water. Especially if their products and/or materials are coming from overseas.   On top of that, it’s up to the retailer to have solid advertising and acreative budget that makes the shipping process worthwhile to keep the cycle of manufacturing and selling at peak efficiency. ls here in Germany. Have you ever heard of RYAN AIR? It’s probably the best CHEAPEST…