Since a letter of complaint makes a demand for adjustment the company that receives the letter will have to decide upon the policy it proposes to adopt towards such letters. Usually a company adopts one of the following policies:
1) Caveat emptor (buyer beware): It points our very politely that this is a principle in the commercial transaction and hence the complainant has no remedy. This policy is highly dangerous one to follow for in the long run, it is certain to result in the loss of goodwill and customers. In point of fact this policy means a refusal to adjust. To avoid the loss of goodwill which such a policy involves the company should give a soft answer and try to convince the complainant that refusal to adjust is only fair under the circumstances for the cases.
2) The customer is always right: This is the policy adopted by firms that deal with highly priced goods and luxury articles like electronic goods, T.V sets, refrigerators, pianos etc. Since they deal with clients who are highly influential they do not wish to risk antagonizing a single one. Even if the demand is a ridiculous such companies do not mind satisfying the customers for the cost of their products runs in thousand of rupees and pleasing a few hundreds once in a way to please an erratic or fussy customer is considered good policy.
3) Fair claims, fair adjust: Each complaint is judged on its merits. If the claim is fair one then immediate adjustment follows. If it if an unjustified then the claim is refused. This policy suits the small businessmen who would soon have to run to a bankruptcy court if he adopted the “the customer is always right” policy with respect to all complaints. This policy is also in keeping with the principle that an adjustment policy should be drawn up with a view to protecting the customer who is in the right and who is in the wrong.
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