What Are the Problems Associated with the Use of a Cost-Based

question 98

Essay

What are the problems associated with the use of a cost-based pricing strategy? What contribution does cost make to the setting of prices?

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Definitions:

Incidental

Occurring as a minor accompaniment to something else, not central or intentional.

Need for Achievement

A psychological drive in individuals to accomplish tasks, achieve excellence, and reach high standards of performance.

Need for Power

is a psychological term referring to an individual's desire to control or influence others.

Need for Affiliation

A person's inherent desire to feel connected or involved with social groups or relationships.