2015 Compensation Fixed Costs 
Harvard Business Review
OCTOBER 29, 2015
This makes financial sense in industries with high fixed costs and low variable costs: larger sizes enable the company to charge higher prices that, even if they are just slightly larger, absorb a higher portion of fixed costs, while reducing packaging cost per volume and attracting value-minded consumers.
Harvard Business Review
NOVEMBER 15, 2018
hospitals and health systems experienced an average 39% reduction in their operating margins from 2015 to 2017. This was because their expenses grew faster than their revenues, despite cost-cutting initiatives. Is compensation in these contracts contingent on the profit (or loss avoidance) impact of their clinical supervision?
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