Discuss the following comments made by two different ceos


Discuss the following comments made by two different CEOs of large industrial distribution firms. One CEO states: “By utilizing the concept of contribution margins we have accepted orders that we would have otherwise rejected. We believe that such a concept is very beneficial.” However the other CEO states: “We don’t use the concept of contribution margin in determining whether to accept or reject an order, because in the long run the use of contribution margins lowers our overall profitability.”

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Operation Management: Discuss the following comments made by two different ceos
Reference No:- TGS01624490

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