Business administration and marketing professor Dr. Rami Khodeir has argued that many companies mistakenly attribute weak performance to declining sales when the real issue often lies in ineffective pricing strategies. In a Facebook post, he noted that day-to-day pricing decisions can significantly impact profitability without attracting sufficient attention from management.

Khodeir explained that practices such as frequent discounts, promotional offers, special exceptions for selected customers, and approving deals without assessing their effect on margins can collectively create what he described as “profit leakage.”

He added that the Power of Pricing workshop was designed to help businesses identify these hidden losses, improve pricing decisions, and build more profitable and sustainable growth models. According to Khodeir, pricing should be guided by structured methodologies rather than intuition.

He stressed that companies seeking stronger financial performance should regularly review their pricing policies instead of focusing solely on boosting sales volumes while overlooking their impact on profit margins.