Hi,
Please find my working on the given para.
"ASL has faced a reduction in their sales revenue. As described by the operational manager, “McDonaldisation” could be the reason for the drop. This is a term used for the cost reduction efforts by the company. In other terms, ASL is following the standard costing method in which the processes and operations are majorly standardized. This costing method is an efficient mechanism when the company produces homogenous products. However, this method mostly fails to cater the customers who have their individual needs which require customization. Therefore, this low cost policy will result in reduced service levels since customers will shift to alternative products that cater their needs. This point of view describes that standard costing won’t be helpful for ASL to sustain its existing customer base and enhance sales revenue. "
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Than you