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Topic: Business
Number of pages / Number of words: 2 / 500
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It also enables managers to identify proposed cost reductions that erode the value that customers place on a product and as such, avoid cost reductions that are counterproductive.

(c) Some of the limitations of cost management in a public sector context are that managing costs by cutting them can be counter-productive...


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Managing the cost of nonprofit goods and services must balance costs and benefits to the entity's users. Further, some of the ideas to reduce costs may involve political considerations or getting rid of a good or service that is required and therefore, many of the options determined are not feasible...


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