p18llemm1plaf1aeo18g180top98.pdf

Description of diagram 2
The following components and factors are included in the diagram:
l·
Components of the structure of production
(»tillverknings-(T-)komponenter»)
Ft volume of production (valued at standard
prices)
T 1 number of different products handled
T 2 average lot size
T 3 average individuality of products
T 4 average quality of products
T 5 average order time
Market (demand) factors (»marknads-(M-)
faktorer»)
MIelasticity of users' and distributors' demand
M2 elasticity of consumer demand
M3 stability of users' and distributors' demand
M4 stability of consumer demand
M5 size of users' and distributors' (and consumer)
demand
M6 sales resistanee
L Length of planning period
Components of the structure of distribution
(»distributions-(D-)komponenter»)
D 1 average sales per customer
D2the relative directness of the channels of
distribution
D3number of customers
D 4 sales promotion
Profit elements (»resultatkonton»)
Ff sales volume at standard prices
(Ft volume of production jvalued at standard
pricesf)
[For the sake of simplicity stockkeeping of
finished products (»lagerhållning») has
not been included in the diagram but
instead been supposed to remain unchanged.
Therefore, Ff = Ft.]
Kd average unit selling and distribution costs
Kt average unit production costs
I average unit price
Factors pertaining to special sections of industry (»B-faktorer»).
B 1 consumers' requirements on variety
B 2 volume of main lines of products on the
market
B 3 volume of sales per conSUluer
B 4 number of orders and of deliveries per
customer
B 5 size and density of the market
B 6 degree of competition
B 7 available production and distribution
techniques
B 8 requirements of man power and capital
l,
General economic and non-economic factors (»allmänekonomiska och icke-ekonomiska
faktorer»).
An increase of that component or factor, from which a green arrow starts, entails - or at
least tends to entail - an increase in the component or factor, to which the arrow points. A
red arrow means the opposite. Double solid arrows indicate relationships ex dejinitiol1e which
are aIways valid, e. g. aIso under pure competition. Solid arrows show relatiollships, which
»almost always» obtain, and broken arrows those which usually obtain. Dotted arrows illustrate
that a change will not in itself affect results but only in combination with a change in some
other component or market factor. Short black arrows only showa source of influence without
indicating its effects. For the sake of simplicity some green and red arrows are not drawn in
full, but only where they start and finish. Only the more important relationships have been
shown.
The relationships indicated in the diagram may be direct or indirect (by way of another
component or factor). The relationships are, furthermore, frequently reversible. The arrows do
not sho,v the magnitude of the effect on costs or income, nor the size or character of the influence
except whether it is positive or negative. The relationships, which vary between different sections
of industry chiefly due to the B-factors, are often mutual hut the arrO\\TS show the usual
direction.
(See also summary, p. 492.)