115-0343/03 – Cost Management and Price Strategy (NŘCS)

Gurantor departmentDepartment of ManagementCredits5
Subject guarantorIng. Lucja Matusiková, Ph.D.Subject version guarantorIng. Lucja Matusiková, Ph.D.
Study levelundergraduate or graduate
Study languageCzech
Year of introduction2011/2012Year of cancellation2012/2013
Intended for the facultiesEKFIntended for study typesBachelor
Instruction secured by
LoginNameTuitorTeacher giving lectures
BAR404 Ing. Terezie Krestová
MAT073 Ing. Lucja Matusiková, Ph.D.
Extent of instruction for forms of study
Form of studyWay of compl.Extent
Full-time Credit 2+2

Subject aims expressed by acquired skills and competences

1.To familiarize students with the basic terminology the theory of cost, with the cost classification according to different criteria, and on the follow-up methods of cost analysis. 2.Tu understand and use various methods and techniques of cost analysis for optimal decision-making on the cost-effective inputs. 3.To identify the critical control parameters and effects on cost and characterize their effect on the process of cost management. 4.To compare and evaluate pricing strategies in response to the specific conditions of the company and predict their positive and negative impacts.

Teaching methods



The aim of the subject is to provide to the students the basic information about costs in the company, their classification, process and creation of cost's functions and possibilities of using in practical conditions. In addition, students will be familiar with the role of costing in the company, will be explained the various techniques and methods used by both traditional and new costing approaches. This is followed by a basic overview of the pricing, analysis of optimum output due to business conditions and creating pricing strategies, including their practical applications, both for production and for a specific service area.

Compulsory literature:

HANSEN, Don R., Maryanne M. MOWEN a Liming GUAN. Cost management: accounting & control. 6th ed. Mason, OH: South-Western Cengage Learning, 2009. ISBN 978-0324-559-675.

Recommended literature:

BRIGHAM, Eugene F. a Michael C. EHRHARDT. Financial Management: Theory and Practise. Fort Worth: Harcourt College Publisher, 2002. ISBN 0-03-033561-2.

Way of continuous check of knowledge in the course of semester


Další požadavky na studenta

Basic knowledge of management.


Subject has no prerequisities.


Subject has no co-requisities.

Subject syllabus:

1st Characteristics of management and business processes - The nature and objectives of these processes in an enterprise. - The role of costs in the economic system of the company. - Factors affecting the cost. 2nd The concept and structure of costs in the business entity - Characteristics of financial, economic value and concept of costs. - Distribution costs (generic, self-serving, depending on the volume carried performance for decision-making purposes). - Practical applications of the various classifications in terms of business. 3rd Production function - Basic characteristics of the production function. - Approaches to the analysis of production functions, possible applications of the conclusions. 4th Cost function - Basic principles of cost theory. - Characteristics of cost functions. - Approaches to the analysis of cost functions and practical applications. 5th Methods for determining cost functions - Classification method. - Orientation simple methods (two periods, the graphical method). - Statistical methods. - Method of Newton's interpolation polynomial, the conditions of use. - Use of cost functions in cost management. 6th Cost calculations - Breakdown of calculations based on various criteria. - Costing techniques, calculation methods. - Use of cost calculations in the specific business conditions. 7th Standardisation of costs - Types of cost standards and how they work. - Cost management in the enterprise application of standard cost method. 8th Competitive cost strategies of the business entity - Competitive advantage and value chain. - Drivers of cost factors that affect them. 9th Practical techniques and methods of cost management in the business entity - Control (interaction) fixed, respectively. overheads. - Control variable, respectively. direct costs. - The evaluation criteria in the process of cost management. 10th Basic principles of the theory of demand and pricing - The law of demand and its practical application, - Price elasticity of demand (including the cross, respectively. Income elasticity) and the factors that affect it. - Classification of forms according to the market price criteria Amomso-Robinson relationship. 11th The pricing models of business - Characteristics of price equilibrium in the perfect and imperfect market. - Cost-political models of monopolistic and oligopolistic firms polypolní (various criteria). - Applications in concrete terms. 12th The practical orientation of pricing in the business entity - Cost price and their use in pricing strategy. - Demand-orientation of prices and business practices in its application. - Competitive and sectoral orientation of pricing as a basis for conflict-free pricing strategies. 13th Cost-political strategy of the business entity - Strategies for new products marketed. - Strategies for Implementing sale. - Choice of pricing strategies according to the conditions of competition. - Price differentiation strategy and its forms. 14th Practical aspects of pricing decisions in the business entity - Cost Control, its place and role in corporate structure. - The objectives of pricing, price controls, price discounts and rebates, in-house prices. - Legal aspects of pricing in the company.

Conditions for subject completion

Full-time form (validity from: 2011/2012 Winter semester)
Task nameType of taskMax. number of points
(act. for subtasks)
Min. number of points
Exercises evaluation Credit 85 (85) 85
        Written examination Written test 85  85
Mandatory attendence parzicipation:

Show history

Occurrence in study plans

Academic yearProgrammeField of studySpec.FormStudy language Tut. centreYearWSType of duty
2012/2013 (B6208) Economics and Management (6208R011) Economics and Law in Business P Czech Ostrava 3 Choice-compulsory study plan
2011/2012 (B6208) Economics and Management (6208R011) Economics and Law in Business P Czech Ostrava 3 Choice-compulsory study plan

Occurrence in special blocks

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