Profit is a relationship between total income and total expenditure, and is conventionally expressed in cash terms. Irrespective of the social system of a country, logical pricing policies are an indispensable condition of profitable operation. Irrespective of the way in which a company’s profitability is expressed, the profit potential depends on its ability to price its products so that they provide value not only to the customer but also to the company itself. The primary requirement of a successful pricing policy is that it should result in a given level of profitability. Alternatively, some companies might be desperately short of work, and be prepared to reduce profit margins to obtain the business. Unit wage cost pricing derives a selling price by marking up the labour cost by a percentage which will give the desired Added Value. A positive pricing policy is an essential feature of managing for profit.