Entrepreneurship, Communication, Soft Skills and Customer Service
What the exam tests
Whether you can plan a small beauty business, price a service, comply with basic registrations, communicate professionally, and recover a dissatisfied client.
Business basics
Start with a market survey: location, competitors, footfall, target client. Then a business plan, start-up cost, fixed and variable costs, break-even, pricing and a marketing plan. Registrations commonly needed include Udyam/MSME registration, GST once turnover crosses the threshold, Shops and Establishment registration with the local authority, a trade licence where required, and professional indemnity insurance. Keep business and personal accounts separate.
Communication and service
Greet within 10 seconds, use the client's name, ask open questions, listen without interrupting, confirm the service and price before starting, explain aftercare and record preferences. Body language matters: open posture, eye contact, no phone checking. Service recovery means listen, apologise for the experience, fix it and follow up. Do not argue.
Worked example
Fixed costs are Rs 40,000 a month. A facial sells for Rs 1,200 with Rs 400 of product and consumable cost. Contribution per facial is Rs 800, so break-even is 40,000 divided by 800, which is 50 facials a month, or about 12 a week. Reasoning: below 50 facials the salon loses money even when it looks busy.
Traps that cost marks
- Pricing below cost and calling the remainder profit.
- Promising what cannot be delivered to close a sale.
- Ignoring a complaint until it becomes a public review.
- Mixing personal and business money.