Costs Associated with Developing an ABC System Most Likely Include

question 81

Multiple Choice

Costs associated with developing an ABC system most likely include:

• A) Reduced profits
• B) Loss of market share
• C) Employee time and consulting fees
• D) Increased overhead costs

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Definitions:

Competitive Advantage

The unique attribute or attributes a company has that enable it to outperform its competitors.

Strategic Thinking

The process of analyzing critical factors and variables that will influence the long-term success of a business, then mapping out actions to achieve desired goals.

Industry Attractiveness

A measure of the potential profitability and prospects for growth within a particular industry or market sector.

Bargaining Power of Buyers

The influence that customers have over a producing industry, often affecting pricing, quality, and terms of sale.