Earlier this week, I shared a blog post called, “The Impact of Price Discounting on Gross Margin from a Business Acumen Perspective.” In it, we shared insights and ideas about how cutting prices can impact the business from the business acumen perspective, most notably gross margin and profit metrics.

As a compliment to that blog, I want to share today's insights and ideas on how cutting prices can impact the business from a Business Leadership Perspective. Here, business leadership is defined as the process of executing strategy through people.

From a business Leadership Perspective, the impact of price discounting extends beyond the previously mentioned immediate financial metrics like gross margin to encompass broader strategic issues such as organizational culture and long-term customer relationships.

Here are some key aspects of the impact of price discounting from a business leadership perspective: