Determining Whether a Company's Prices and Costs Are Competitive

question 25

Multiple Choice

Determining whether a company's prices and costs are competitive

• A) requires looking at the costs of a company's internally performed activities and the costs of its suppliers and forward channel allies (distributors/dealers).
• B) requires performing pricing surveys on at least a quarterly basis.
• C) involves developing close relationships with buyers to determine if the market is showing signs of increasing price sensitivity.
• D) typically involves the use of activity-based cost accounting by the company's key retail customers.
• E) All of these choices are correct.

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Definitions:

Risk Taking

The act of engaging in activities or decisions that involve uncertainty and potential loss, with the expectation of achieving gains or benefits.

Managing Diversity

The practice of acknowledging, understanding, accepting, and valuing differences among people with respect to age, class, ethnicity, gender, physical and mental ability, race, sexual orientation, spiritual practice, and public assistance status.

Full Utilization

The practice of using all resources or capacity to the maximum extent possible, aiming for efficiency and minimizing waste.

Human Resources

The department within an organization that handles all aspects related to its employees, including recruitment, training, compensation, and employee relations.