There are 04 types of costing methods that can be identified namely Job Costing Batch Costing Contract Costing Process Costing These types of costing methods are based on the production method that is used and when the production method differs there was a need for customization in the costing method used. These costing methods and respective production method are explained below: Job Costing Job costing was originated through production method “job production” and since job production had [...]

Buzz marketing involves creating a trend among people through word of mouth to generate sales for a product. In other words, markets create a “Buzz” among target audience and spread through word of mouth and generate sales for the organization. As an example, if a celebrity wears a certain branded clothing and attend a public gathering, that will create a buzz among fans of that particular celebrity and it will spread among customers by word of mouth instantly. Buzz marketing is a [...]

As the name Multi National Companies (MNC) implies MNC is a firm that has a worldwide approach to production and its market or a firm which has its operations in more than one country. As an example, when a USA based firm sets up a subsidiary in United Kingdom it becomes a multi national company. In modern world all most all the business giants such as Microsoft, IBM, Nestle and Coca Cola are considered as [...]

As discussed earlier viral marketing is a form of word of mouth marketing which is carried out using online means. (Click here for the Introduction to Viral Marketing) Viral marketing is practiced by business organization who are engaged in e-commerce and many organizations have become a success stories by using viral marketing strategies. Hotmail.com is a the best example that can be quoted. Hotmail provided free sign up for users who were interested in obtaining an email account and they were [...]

Viral marketing is a form of word of mouth marketing where it uses the online means to promote a product. In other words, viral marketing uses internet to spread the message of product like how a virus is spread among computers which are networked. As an example, if an email message is sent passed to few audience from the target market they may forward it to others who have similar interest and the forward chain will keep [...]

When the firm produces in large scale it will experience benefits of mass scale production and as a result average cost per unit will reduce up to a certain level of output. This reduction in average cost per unit is called as economies of scale. Economies of scale occur in long run cost behavior. Economies of scale can be in 02 different forms: 01. Internal economies of scale 02. External economies of scale. Internal Economies [...]