commodity

And services have the right to choose the source of supply.

In the profit center, because the manager has no responsibility and power to decide the investment level of the assets of the center, profit is the only best performance measurement standard.

But at the same time, these profit figures also need to add a lot of non-financial indicators of short-term performance.

The profit measured by appropriate methods is a short-term indicator for determining the ability of the central managers to use their resources and other input elements to create value.