Mbbs Business Model

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Table 12. Impact of MBBS on a Small Retail Business A business must decide business strategies for upcoming years (e.g., pricing policy). In MBBS, a business would have to decide how much risk it is willing to assume in the form of the number of bonds held/traded. Table 12 shows 40%, 30%, 20%, and 10% discount models, with the balance up to the with-bond sales price. In the 40% discount scheme, which means a business accepts 40% of the with-bond price in MBBS bonds, a business could double its margin, depending on bond rates. It could also lose money if the rate for MBBS bonds falls below five bonds per Ringgit. A business’ margin drops with the drop of bonds accepted, but so does its risk. A rational businessman would opt…show more content…
When margins improve under the scheme, there is more latitude for discounting. This avoids problems associated with cash flow and negative margins. Therefore, a business may choose not to plan its discount across the board but decide on a generic pricing policy of different discounts on different brands and lines, taking account of its cash margin, volume of sales, and the pricing strategies of competitors. In the final analysis, a business would keep an eye on competitors’ MBBS pricing policies and how attractive this is to buyers of shirts. This model can be applied to all retail businesses or businesses selling to an end user. It shows how flexible and profitable MBBS can be for well-run…show more content…
The indirect tax system causes the largest problem for Malaysian economy. This system may threaten to sink the ship of state in an ocean of debt in the near future. In addition, this malfunctioning system has a negative effect on all other systems. For example stable exchange rates, investment in people and industry, low-cost financing, and so forth are not possible because the direct and indirect tax system is the main obstacle. This reinforces economic failure, and beyond a certain point, it can cause the economy to collapse. The failure of Govt. to collect enough revenue through taxation is the result of a failed tax system, and it has forced the government to use their own resources in large amounts of money in order to finance regular government deficits. The vast majority of this expense is the barrowed money with interest. Again, when a major part of an economic system starts to fail, then the entire system’s performance is in
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