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Nikita Sharma
Business News Expert
Asked a question last year

What are advantages of business letter?

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Communication through letters occupies the largest share in the total volume of communication because of the following advantages:

(1) Letters are less costly than other means of communication.

(2) Letters can be sent to long distant places by post within a short time. Of course, letters may be sent by messengers within neighbouring areas.

(3) Letters are drafted after proper thinking and planning and so the subject matter can be presented in a systematic and logical way.

(4) The ideas conveyed in letters are clear and free from ambiguity.

(5) The size of a letter may be big or small as required.

(6) Letters simultaneously provide evidence and exact copies can be retained.

(7) Same communication may-be made to a number of persons at a time, through duplicating or printing.

(8) Many unpleasant and delicate matters which cannot be spoken face to face or through mechanical devices can be written in letters in a discreet language.

(9) Letters are suitable for all types of communication.

(10) There is standardisation in form and style readily acceptable by the business world. Even internationally accepted code language is used.

debakshi gupta
CRM and English Skills expert
  1. Exchange business-related information: Letter is the best media of exchanging information. Businessmen can easily exchange information related to business activity.
  2. Convey information: The basic purpose of any business letter is to convey information regarding business activities. Information can be transmitted through business letter to customers, suppliers, debtors, government authorities, financial institutions, bank and insurance companies and to any other parties related with the business.
  3. Find the new sources of product: A b letter can help to find the sources of a new product in home and abroad.
  4. Expand markets: By means of a business letter,a producer can easily create market of his product. Through goodwill messages and through circular letters existing market can be expanded.
  5. Establish business relationship: Another important purpose of business letter is, it helps to establish mutual relationship with the customers, suppliers and with the other interested parties.
  6. Low cost: As a media of communication writing a letter is very cheap than those of others. The other forms of communication are too expensive for a small firm to bear.
  7. Building goodwill and image: An excellent business letter increases the goodwill of the business organization. In this electronic era, messages can be sent within a few seconds through electronic media but a well-decorated business letter has its own importance in creation positive image of the company.
  8. Maintaining records and references: Business letters are also used to maintain documentary evidence. A business letter acts as a proof document which is completely absent in other means of communication. Letters can be preserved for future reference.
  9. Maintaining the secrecy: A business letter maintains the secrecy of both the buyers and the sellers on business affairs.
  10. Save time: A business letter saves the valuable time of both seller or sender and buyer or receiver.