Profit, no loss

Entrepreneur, April, 2005 by Deborah House

Kirsten Osolind, author of "Labor for Love" ("Flash," February), hit the nail on the head when suggesting entrepreneurs spend their time and resources on increasing revenues from profitable customers while "firing" the unprofitable ones.

One extremely effective profit-building strategy is to raise prices to match the value received and perceived by customers. Even if a company loses 50 percent of its customers, its revenue and profits remain the same.

Entrepreneurs also double the time and resources available to go after customers with problems their products and services can realistically solve--increasing their customers' profits as well as their own.

DEBORAH HOUSE

Chicago