search query: @author Pitbladdo, R. / total: 4
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| Author: | Karmarkar, U. Pitbladdo, R. |
| Title: | Internal pricing and cost allocation in a model of multiproduct competition with finite capacity increments |
| Journal: | Management Science
1993 : SEP, VOL. 39:9, p. 1039-1053 |
| Index terms: | COST ALLOCATION PRICING MULTIPRODUCT COMPANIES COMPETITION |
| Language: | eng |
| Abstract: | Internal prices are used in practice to allocate central resources to a firms' profit centres. The fixed costs of capacity acquisitions are often included in this prices. The authors examine the interaction between capacity acquisition and competition when capacity is available in fixed increments. The authors find predictably that if the increments are small, unit capacity cost is a good approximation for the internal price, and if the increments are large, the internal price is zero. |
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