CHECK NET DELIVERY COSTS, RETAIL URGED

FORT LAUDERDALE, Fla. -- The industry's almost myopic focus on gross margin, "perhaps the biggest driver of behavior," fosters some of the most unprofitable distribution practices.Rather than concentrate on gross margin only, companies need to better understand the net cost for a particular product to land at the store shelf, said Jim Blaser, partner in the Consulting SysteCon division of Coopers

FORT LAUDERDALE, Fla. -- The industry's almost myopic focus on gross margin, "perhaps the biggest driver of behavior," fosters some of the most unprofitable distribution practices.

Rather than concentrate on gross margin only, companies need to better understand the net cost for a particular product to land at the store shelf, said Jim Blaser, partner in the Consulting SysteCon division of Coopers & Lybrand, Cleveland.

Blaser outlined the concepts of an activity-based cost

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