
(Solved): An investigation into types of costs that are used to analyse the “whale curve” and to what extent do they affect decision making of company A
(Solved): An investigation into types of costs that are used to analyse the “whale curve” and to what extent do they affect decision making of company A
I want the information below converted into a better topic than the one above. “The ‘whale curve’ features in most management accounting textbooks where it is maintained that 80%, say, of the channels, customersor products/services make up more than 100% of the profits, while the remainder reduce the profit back down to 100%. Research into whether and how this analysis affects decision making of firms (eg, which customers to target or how to encourage ‘high-cost’ customers to move to online or self-service), and what types of costs are being considered when making such an analysis is scant. And there are also timing or lifecycle considerations: channels, customers or products/services that ‘drive down’ profit now may become highly profitable in the future. How is all this taken into account in the costing calculations?”
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