Find List Country Email List A firm may not want to share production

A firm may not want to share production

Even if it isn t exactly what the customer might envision the customer appreciates the act of disclosure Mohan says. It s unclear whether a company might see these nefits on a sustain basis particularly if a numr of retailers selling similar items all start revealing their costs. Presently only a few retailers practice cost transparency. For example Everlane everlane is a San.

Francisco bas online retailer

That reveals the variable costs of production for each of its products as well as images and descriptions of the factories where products are made. And Honest By honestby a lgian retailer augments cost transparency on its website with detail supply chain information Romania Email List for each component of each garment right down to the hang tag. This was a novel thing to do and the advantage is probably greatest when it s perceiv as novel John says. The paper also not certain cost transparency caveats for retailers.  costs if the cost structure provides a competitive advantage. In addition contracts with suppliers may prevent making certain information public. And it just may  that companies don t have the information readily available—for example in cases where goods are produc by a variety of manufacturers.

Country Email List

Companies with goods and services

That depend on high fix costs such as research and development and overhead simply providing variable costs may not accurately reflect to consumers many of the Estonia Phone Number other expenses incurr. For example R D expenditures in the pharmaceutical industry involve more than just the cost of producing one particular drug. Many drugs may have to fail fore one succes and that one hit drug ends up subsidizing the other busts. It would  a lot trickier for an industry that spends millions or even billions in developing a product to reveal its costs Buell says.

Leave a Reply

Your email address will not be published. Required fields are marked *

Related Post

By decoupling the act of separating activities that people are us to co consuming new digital businesses are disrupting retailing telecom and other industries. Decoupling allows consumers to benefit from