Discussion Post 1
What can you learn from the financial statements of competitors that determine the relative cost position of your company?
A competitor’s financial statement helps one compare his/her own company’s cost of producing goods and the investment returns to other companies in the same business. This helps in determine the cost of buying raw materials and of the product to maximize profit returns.
What are some of the ways in which you can secure a sustainable cost advantage over the competition?
Firms can obtain aggressive benefits by applying value-creating techniques. These techniques need to be unusual, valuable, and non-substitutable. Developing an aggressive benefit requires client commitment, a great location and unique products.
How does maintaining a strong understanding of relative costs help you maintain the competitive advantage?
It helps by allowing one to make informed decisions in setting products cost. This allows the company to maintain a competitive advantage by being able to adjust the cost in order to maintain profit making.
How do you use cost structure to differentiate products? Do you think product differentiation is a successful growth strategy? Why or why not?
The difference of products along key functions and minimal details is an important way of companies to protect their cost from leveling down to the end level of the cost variety and avoid other companies from providing the same to the same customers. It is a successful growth strategy as it helps firms build their own products price range.
What is the usefulness of conducting a customer profitability analysis?
Customer profitability analysis assists the company recognize the net income coming from each consumer which can be computed by revenue less expenses.
Discussion Post 2
Predicting and Developing a Long-Term Growth Strategy
The foundation of developing a long-term sales plan begins with clear knowledge of targeted consumers and research in marketing. Marketing research entails clear observation of the source of raw materials needed for the product or service and how the financial statement fluctuates regarding production and product cost (Louis, 2009).
Strategic management accounting can be used to understand the costs and profits of a business and determine if excess profits are being earned by some parts of the supply chain. Conducting a customer profitability analysis is one way to reunite cost and customer.
References
Louis G. (Oct. 2009). Long Term Business Growth Strategy. Retrieved from http://ezinearticles.com/?Long-Term-Business-Growth-Strategy&id=3119475
Long-Term Growth Strategy – LTG. 2014. Retrieved from www.investopedia.com/term/l/longtermgrowth.asp
Meuleman, L., Veld, J. ., & Veld, J. (2009). Sustainable development and the governance of long-term decisions: EEAC working group governance RMNO. Den Haag: RMNO.
Last Completed Projects
| topic title | academic level | Writer | delivered |
|---|