Cost structure and countertrade, Management Theories

Cost Structure:

The bond of a firm fixed costs to its variable costs. Firms with high fixed costs and low variable costs have a cost construction where a high volume of production is more desirable, whereas firms with low fixed costs and high variable costs benefit from lower stages of production.

Countertrade

The interchange of products, services, and currency for other products, services, and currency. An export financing tool, countertrade enables organizations to sell to clients in countries that could not otherwise buy products and services because of the absence of hard currency.

 

Posted Date: 10/15/2012 8:47:36 AM | Location : United States







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