Should we drop low-margin products to boost profits?
I manage a small e-commerce team, and we're debating whether to drop our lowest-priced product line. It generates 30% of our revenue but also 80% of our support tickets, and profit margins are razor-thin. Is it smart to focus on higher-margin items even if it means losing budget-conscious customers, or does volume matter more for market presence? We've seen competitors thrive by being the cheapest, so I'm torn.