Asymmetry cost behavior: Study case in pharmacy companies in Indonesia

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Nurafni Eltivia

2015 Interdisciplinary Behavior and Social Sciences - Proceedings of the 3rd International Congress on Interdisciplinary Behavior and Social Sciences, ICIBSoS 2014 Conference paper Cited by 1 Quartile

Abstract

The aim of this research was investigated whether the stickiness cost occurred in Pharmacy companies listed in Indonesian Stock Exchange. Cost stickiness as a form of asymmetry cost behavior can be seen if the magnitude of the cost increase associated with the increase of volume was greater than the magnitude of the cost reduction associated with the equivalent decrease of volume. Anderson, Banker and Janakiraman (ABJ) double log model and linear regression was employed in this research to analyze the stickiness cost. The result showed that there was stickiness cost in non-production cost; because of the manager tend to retain the idle resources than pay adjustments cost for savings when the sales volume decreases. © 2015 Taylor and Francis Group, London.

Affiliations

State Polytechnic of Malang, Indonesia