ABC/TA for Internet retail shopping Available to Purchase

Considers some of the assumptions underpinning the utilisation of activity‐based costing (ABC) and throughput accounting (TA) systems in relation to Internet retail shopping. It shows that there is a role for both ABC and TA systems depending on where managerial attention is directed towards supply chain efficiency and/or cost control. Internet retail shopping was chosen because it is a new niche market that favours the maximisation of retail inventory “throughput” while, at the same time, favouring “ABC” because of the substantial fixed overhead costs incurred by many of the major supermarket stores.