What is inter firm comparison example?
Inter-firm comparison is the technique by which performances, efficiencies, productivity, costs and profits of various firms in the same industry are evaluated and compared. 2. The prerequisite for the above comparison is the adoption of uniform costing system. 3.
What is meant by intra firm comparison?
Intra-firm comparison means comparison among different units/products/strategic business unit (SBU) of a firm. Intra firm comparison helps the management in identifying the units/Strategic SBUs which have not been performing as per the internal benchmark or standards achieved by other units SBUs.
What is procedure of inter firm comparison?
Inter-firm comparisons is a technique of evaluation of performance, efficiency, costs, profits etc. of firms producing same type of products. It consists of voluntary exchange of information/data concerning costs, prices, profits, productivity, efficiency among the concerns engaged in same industry.
What is inter comparison?
: to compare (members of a specified group or their qualities) with one another intercompared the two sets of data.
What are the objectives of inter and intra firm comparison?
It is actually about the comparing of two more than two department of the same firm or the business unit. The main objective here is to improve the efficiency and analysis the performance of departments.
What does inter firm mean?
: occurring between or involving two or more firms interfirm transactions …
What is inter firm?
Definition of interfirm : occurring between or involving two or more firms interfirm transactions … other research found that Silicon Valley has an unusually high level of inter-firm mobility for workers— Tim Fernholz.
What is meant by inter firm and intra firm analysis?
A firm would like to compare its performance with that of other firms and of industry in general. The comparison is called inter-firm comparison. If the performance of different units belonging to the same firm is to be compared, it is called intra-firm comparison.
What are the objectives of inter and intra-firm comparison?
What are inter firm relations?
The authors define inter-firm relationships as a broad range of relationships including strategic alliances, joint ventures, and mergers and acquisitions (M&A) or other equity-based relationships in this paper.
What is inter firm Intra firm?
Inter firm is between two companies where as intra firm is within one company.
What is inter firm Intra-firm analysis?
What is the meaning of inter firm comparison?
Inter-firm comparison can be defined as the technique of evaluating the relative performance, efficiency, costs and profits of firms in a given industry’. The meaning of IFC can be easily explained by considering the main object of the system.
Do you have to have uniform costing system for inter firm comparison?
So, needless to mention that in order to make an inter-firm comparison there must be a uniform costing system.
Why is intra firm comparison important in SBus?
This comparison is possible only when uniform costing methods and practices are being adopted by all units and SBUs. Intra firm comparison helps the management in identifying the units/Strategic SBUs which have not been performing as per the internal benchmark or standards achieved by other units SBUs.
When is one firm compared to another firm?
The method by which one firm is compared with other firms particularly when technology, product characteristics, production method and general operating conditions are same in the same industry, the same is known as inter-firm comparison.