Principles Of Marketing
17th Edition
ISBN:9780134492513
Author:Kotler, Philip, Armstrong, Gary (gary M.)
Publisher:Kotler, Philip, Armstrong, Gary (gary M.)
Chapter1: Marketing: Creating Customer Value And Engagement
Section: Chapter Questions
Problem 1.1DQ
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What is the formulae to find Current total contribution?
Expert Solution

Step 1
Contribution per unit is the lingering benefit left on the offer of one unit, after all factor costs have been deducted from the connected income. This data is helpful for deciding the base conceivable cost at which to sell an item. Basically, never go under a commitment for each unit of nothing; you would some way or another lose cash with each deal. The lone possible purpose behind selling at a value that produces a negative commitment edge is to deny a deal to a contender.
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