TY - JOUR

T1 - Product customization

T2 - A case study on choosing the right costing system

AU - Lueg, Rainer

PY - 2015

Y1 - 2015

N2 - This case study deals with the extension, customization, and profitability of two new product lines of a bicycle manufacturer. It can serve both as a discussion basis in class as well as an exam for advanced Master students in management, marketing, and accounting. The case illustrates how variance analysis and Activity-based Costing help managers to better understand the different profitability of customized product lines. The rather open questions at the end of the case study allow for an adjustment to the level of knowledge of the students. Students will need to reflect on how a mechanical application of financial analysis can lead to dysfunctional decisions that run counter to a company's business model.

AB - This case study deals with the extension, customization, and profitability of two new product lines of a bicycle manufacturer. It can serve both as a discussion basis in class as well as an exam for advanced Master students in management, marketing, and accounting. The case illustrates how variance analysis and Activity-based Costing help managers to better understand the different profitability of customized product lines. The rather open questions at the end of the case study allow for an adjustment to the level of knowledge of the students. Students will need to reflect on how a mechanical application of financial analysis can lead to dysfunctional decisions that run counter to a company's business model.

KW - Management studies

KW - Customization

KW - budget; variance analysis

KW - business model

KW - management accounting

KW - case study

KW - teaching notes

KW - dysfunctional decision making

U2 - 10.18374/IJBS-15-2.4

DO - 10.18374/IJBS-15-2.4

M3 - Journal articles

VL - 15

SP - 63

EP - 68

JO - International Journal of Business Strategy

JF - International Journal of Business Strategy

SN - 1553-9563

IS - 2

ER -