MANAGERIAL AND CUSTOMER COSTS OF PRICE ADJUSTMENT:

Essay specific features

 

Issue:

Business

 

Written by:

Jennifer D

 

Date added:

February 19, 2016

 

Level:

University

 

Grade:

A

 

No of pages / words:

69 / 19190

 

Was viewed:

5780 times

 

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Essay content:

In addition to physical costs (menu costs), we identify and measure three types of managerial costs (information gathering, decision-making, and communication costs) and two types of customer costs (communication and negotiation costs). We find that the managerial costs are more than 6 times, and customer costs are more than 20 times, the menu costs...
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We find that the managerial costs are more than 6 times, and customer costs are more than 20 times, the menu costs. In total, the price adjustment costs comprise 1.22% of the company’s revenue and 20.03% of the company’s net margin. We show that many components of the managerial and customer costs are convex, whereas the menu costs are not...
displayed 300 characters

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