The Impact of Deregulation of a Public Utility in C.A

In fact, the goals run through make out so confusing at times that some pedantic scholars and business commentators are beginning to take nonice. Petrof (1997) presciently observe that there has emerged a " bare-ass-old" concept of relationship trade as a means of providing guest think of while at the same time obeying the rigors of cost accounting. His theory is that relationship selling consists of "attracting, developing, and retaining clients...[and making sure that] all activities are directed toward establishing, developing, and maintaining in(predicate) relational exchanges....the objective of relationship marketing is not single to acquire customers but to keep them as well. Moreover, in this 'new philosophy,' customer satisfaction becomes the responsibility of everyone in the organization" (Petrof, 1997, 26).

Petrof then admits that regular though "paying attention to relationships with clients has long been a panache of doing business, much of the current literature assumes it to be a new phenomenon, especially in consumer markets. Advocates go so far as to maintain that buyer-seller relationships have become an integral part of business-to-business in operation(p) strategies only over the past ten years" (Petrof, 1997, 27). Whether it has been round for ten years, or one hundred years, the question of consider customer value

Although public utilities have challenges facing them today which did not exist during most of the twentieth century, they can achieve both shareholder value and customer value by recognizing that customer value translates (in the long-term) into shareholder value as increased numbers of customers seek out the company.

stockholder value is typically enhanced by management focalization on the financial tilts and improving the ratios and relationships between the critical factors on the financial statements. On the balance sheet, for example, a company energy seek to lower its indebtedness or increase its plus base. It might focus on reducing its accounts receivable appeal period so that its cash balance increases and the amount deal out for bad debt decreases.

If the company is able to reduce its accounts receivable parade time so that it is less than the industry as a whole, the financial markets are likely to look favorably on this and drive up the share price (Birnbaum & Winter, 1995, p. 10A).

Petrof, J.V. (1997, Nov.-Dec.), Relationship marketing: The wheel reinvented? Business Horizons, pp. 26-32

Donlon, J. P., & Gutfreund, J. (1998, March). Good for the company, good for the shareholder? honcho Executive, pp. 50-59.

Customer value and shareholder value are not mutually exclusive; in fact, the two are close related as a beer company discovered when it focused only on shareholder value during the 1970s. At that time, Schlitz was the nation's blurb most popular beer but the stock price was judged as well low by management. The company embarked on a system that focused on cutting costs and improving profitableness in order to attract additional investors and drive up the price of the stock. From a balance sheet standpoint, the company clear-cut to reduce the amount of time that it tied up assets and so it reduced the period of time that the company aged its beer. From an income statement standpoint, the company sought to reduce the cos
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