Industry shake up

Chris helped a business enter the Australian domestic mobile garbage bin market.  The only way to break in was by price reductions.  Quality and delivery were a given.  Chris analysed the cost structure involved in producing the bins.   The truly variable costs were calculated and the things that could not be easily changed were set aside.  The bottom line was; at what price could the product be sold and still return a decent profit to the company?  That was determined and industry prices were reduced, and the business grew profitably at a healthy rate.

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