Question: Marketing and Management Accounting A cross-functional team of managers, including the management accountant, performs each of the following activities. However, depending on the nature of the decision to be made, one functional area will take the leadership role. Which of these activities is primarily a marketing decision? What would the management accountant contribute to each of the marketing decisions?
1. Porsche Motor Company must decide whether to buy a part for one of its cars or to make the part at one of its plants.
2. Airbus must decide the price to charge for spare parts it sells over the Internet using its Spare Parts Web site.
3. St. Luke's Hospital must decide how to finance the purchase of expensive new medical analysis equipment.
4. Amazon.com must forecast the impact on video sales of a new advertising program.
5. Mission Foods , a leading producer and distributor of tortillas to retail and food service industries, must decide whether to accept a special order for tortilla chips by a large, national retail chain.
6. Target Stores must decide whether to close one of its retail stores that is currently operating at a loss.