A low cost producer is a firm within a specific industry with the lowest cost-of-goods-sold. Cost of goods generally consists of fixed and variable costs of production and logistics, and manufacturing and corporate overhead. The total cost-of-goods-sold therefore includes direct and indirect costs associated with producing and delivering a product or service. Only one, or very few organization within an industry enjoy this status. This serves as a competitive advantage. The low cost producer within an industry is able to price products and services lower than competitors and yet achieve a ... [read more]