Abstract:

The paper presents a method for analyzing the variance of manufacturing cost and price components using a Scenario method. The analysis model is based on the usual relations for calculus of the total manufacturing cost and final price of the product, by integrating relationships that take into account complex dependencies between different components of product cost and selling price. The validation of the proposed model is made by verifying price variation of a compression spring for light loads, using catalog prices, at two different moments of time. The result of data variation analysis, confirms the practice of companies regarding the price setting, in order to keep constant profit margin considering the strong competition and global economic crisis.