As an Amazon Associate I earn from qualifying purchases.

What is Activity Based Cost (ABC) in Marketing? PDF Download

Learn Activity Based Cost (ABC) definition in marketing with explanation to study “What is Activity Based Cost (ABC)”. Study activity based cost (abc) explanation with marketing terms to review marketing course for online MBA programs.

Activity Based Cost (ABC) Definition:

  • Accounting procedures that can quantify the true profitability of different activities by identifying their actual costs.

    Principles of Marketing by Philip T. Kotler, Gary Armstrong



Activity Based Cost (ABC) Explanation:

Activity based costing is an accounting technique that defines and allocate costs to overhead functions after allocating those costs to goods and products. This method originally examines the correlation of costs overhead activities, and produced goods. Activity based accounting technique helps to assign indirect costs less swiftly than existing methods.

Keep Learning Marketing Explanations

What is Intermarket Segmentation (cross-market segmentation)?

During the time spent division (isolating a market into littler gatherings that are comparative in any event one angle and ...

What are Noncompensatory Models?

The anticipation worth model is a compensatory model in that apparent beneficial things for an item can beat apparent awful ...

What is Place Advertising?

Spot based presentations envelop a wide assortment of arrangements that are extraordinarily found where specific gatherings assemble for an assortment ...

What is Advertising Media?

Advertising media plays an integral role for the promotion of organizational business. Companies offers multiple product and services to their ...

What is Income Segmentation?

Pay division is the point at which the clients are sectioned according to the yearly or month to month salary ...

What is Product Mix?

Item blend, otherwise called item variety, alludes to the complete number of product offerings an organization offers to its clients. ...