Target Costing
SUBJECT : Management
PUBLISHED ON : 02/04/18
NUMBER OF PAGES : ( 28 Pages)
PRICE : Rs 18.2

Target costing originated in the Japanese manufacturing industry in the 1970s as a response to the challenges posed by consumerdem and for more diversity and shorter product life cycles. Companies also began to recognise that most of the cost of products was committed at the design stage. Target costing developed as a multidisciplinary approach to managing costs from the earliest stages and was complemented by techniques such as process re-engineering and total quality management. The differentiation or uniqueness of the products has faded away and the customer feels that there is no difference among the products. Therefore substitution of the products has become rampant in all most all products and therefore the traditional cost-plus pro􀃀 t pricing model will not be applicable. In this kind of situation every organisation must follow market based pricing