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Question: Incremental analysis is a business technique tool used to make decisions on the determination of a product's true costs against alternative products. It is also used to determine whether a company should outsource a function or produce it themselves. A company can also use this type of analysis to decide how to allocate their resources for any future buying or making of a product along with elimination of products or services. In my own life I think that I use incremental analysis when I am deciding whether I should complete a home project, like a remodel or whether I should hire someone to do the work for me. I would have to compare the costs of materials, labor, and additional costs with hiring a laborer or doing the work myself. Sometimes the convenience, and speediness of the project being done by an outside source will outweigh the costs as well.
MMM132 - Management - how to find, research and write about academic theory and concepts using management texts
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