Impact of growth (Sales) On Return on Assets (ROA)

日期 : Oct 2019 - Jan 2020

              Nestle Pakistan and Procter & Gamble are leading and fastest growing FMCG companies in the world. The rapid growth has been seen in this sector in recent year as because of the acquisition as well merger of different companies with each other as well due to the various economical and financial situation of the country. Because of E-commerce introduction in recent year it continues to engulf the profits of retailer as well as wholesalers in the global market environment and where as currency change in another issue which is changing continuously where as geopolitical instability cause to hit the exports and imports with tariffs. Fast moving consumer are consumed in rapid manner and sold at low prize such as food which are packaged ,beverages, OTC products as well other consuming items, as these products have short half life because of their rapid deterioration. Discounts are given on seasonal basis ,packaging of the products is given a prime importance to FMCG products, in order to be successfully customers satisfying organization the company has to aware of both consumers brand as well as their packaging and logistic material. Promotional activities are also of prime importance as the companies have to invest a lot in them. Hygienic products must be provided to the customers to become loyal and long lasting customers for that proper quality control laboratory must work efficiently in FMCG sectors. As the FMCG products are sold in large quantities their profit margin is marginal. Packaging must require along with primary, secondary and tertiary packaging depending upon the type of products.