Cost management is a crucial profitability strategy that focuses on controlling and reducing business expenses to increase profits. Unlike revenue enhancement strategies, cost management does not rely on market conditions or customer behavior. It's more within the company's control. However, it's important to ensure that cost reductions do not compromise the quality of products or services, as this could lead to loss of customers and revenue. Other profitability strategies like pricing strategies, product differentiation, and market expansion often require significant investment and carry more risk. Therefore, cost management can be seen as a more immediate and controllable profitability strategy.
Maximize profitability with our Cost Management presentation. This deck includes frameworks and char...
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