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| Topic: |
Business
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| Number of pages / Number of words: |
4 / 936 |
Essay's paper body
It’s possible that large orders have more inventory costs.
- The time profit of EDI vs. manual orders.
- Extra cost of more small orders instead of less bigger orders
Question 7
That kind of analysis on the profitability of the customers is a great opportunity to identify those who are really profitable and those who are unprofitable...
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In that analysis, the managers can see clearly for each customer, in which activities they are causing the increase of the cost. Depending on the activity/activities the customers are causing the cost increase, the manager of the company should have to decide which actions should be carried out to transform those unprofitable customers into profitable ones...
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