Improving Profitability with Segmented Income Statements for Local Area Networks

Abstract

Suggests that, though local area networking is one of the fastest growing segments in the computer industry, the selection of appropriate features for inclusion in local area networks (LANs) can be confusing for both vendors and end‐users. Describes a system that measures the degree to which specific LAN features meet end‐user needs and contribute to profitability. Reveals that, in the analysis, the features file security and remote access had positive effects on the overall LAN price. Provides a methodology for selecting the most profitable features, such as remote access and gateways to PC networks, to include in a contemplated LAN product line.

Citation

Rushinek, A. and Rushinek, S.F. (1994), "Improving Profitability with Segmented Income Statements for Local Area Networks", Industrial Management & Data Systems, Vol. 94 No. 2, pp. 7-15. https://doi.org/10.1108/02635579410055828