Does Capacity Utilization Affect the “Stickiness” of Cost?

By Ramji Balakrishnan, Michael J. Petersen, Naomi S. Soderstrom. 2004

222 citations recorded by the source corpus.

Subfields: Economics and Econometrics, Management Science and Operations Research

View Paper: https://www.semanticscholar.org/paper/182338b2b5e07992f73794f38dc10d62c5132bb2

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Citations in the corpus

Employment Protection Legislation, Adjustment Costs and Cross-Country Differences in Cost Behavior (2012, background): “Costs are sticky when the cost response to a decrease in activity is smaller than the cost response to an equivalent increase in activity (Anderson et al., 2003, Balakrishnan et al., 2004, Banker et al., 2010b, Weiss 2010).”
Organization Capital and Sticky Behaviour of Selling, General and Administrative Expenses (2015, methodology): “We educe the effect of outliers on our analysis by winsorising ach individual data element to the 1st and 99th percentile f the respective distribution (Balakrishnan et al., 2004; anker et al., 2013a,b).”
Asymmetric Cost Behavior (2014, unknown): “including operating costs, salary costs and total hours, in samples such as physical therapy clinics (Balakrishnan et al. 2004) and hospitals in Canada (Balakrishnan and Gruca 2008), California (Balakrishnan and Soderstrom 2009) and Germany (Holzhacker et al.”
Cost Structure and Sticky Costs (2014, background): “For example, Anderson, Banker, Chen and Janakiraman (2004), Banker and Chen (2006a) and Steliaros, Thomas and Calleja (2006) examine variations in adjustment costs across labor markets.”
Determinants of ‘Sticky Costs': An Analysis of Cost Behavior using United States Air Transportation Industry Data (2014, unknown): “Second, Balakrishnan et al. (2010) suggest that variation in annual growth rates may influence sticky cost behavior.”
Cost Behavior and Fundamental Analysis of SG&A Costs (2007, background): “Banker and Hughes (1994); Cooper and Kaplan (1998); and Balakrishnan, Petersen, and Soderstrom (2004) consider how available capacity may change 3.”
Cost stickiness: state of the art of research and implications (2013, unknown): “Anderson et al. (2003) (the ABJ model) and subsequent studies (e.g. Balakrishnan et al. 2004; Weidenmier and Subramaniam 2003) find evidence that the decline in costs is smaller for decreasing than the rise in costs for increasing activity levels of the same amount of activity change and label that…”
The Moderating Effect of Prior Sales Changes on Asymmetric Cost Behavior (2014, unknown): “8 Balakrishnan et al. (2004) develop a related argument that costs are likely to be anti-sticky when current capacity utilization is low.”