After reading this chapter, you should be able to answer the following questions:
What is strategic management accounting and how does it differ from traditional management accounting?
When developing strategies for a company, why is it important to identify external factors (such as Porter's five forces: threat of new entrants, power of buyers, power of suppliers, threat of substitutes, and competitive rivalry)?
How can value chain analysis be used to identify areas of strategic opportunity for a company?
How can a company assess which customers are the most profitable?
In what ways is activity-based management (ABM) a strategic management accounting approach?
Why does life-cycle costing provide a more accurate picture of a product's profitability than traditional costing techniques?
How can cost-reduction tools such as ...