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Symptom: Clients are sent bills that don't directly relate to their purchase decisions (e.g., allocations).

If people are billed for things they didn't buy, it would be natural for them to get upset.
While this would be shocking (and generally illegal) in a free market, it can occur with internal staff functions and regulated monopolies. In either case, "allocations" may appear on the bill that have nothing to do with the clients' purchase decisions. While this may assure a break-even case for the provider, it strains relationships with clients.
Generally, there is a better way to satisfy the need for cost accounting without disrupting clients control over their expenses. The solution is found in an internal economy that associates the right costs with each product, and the right products with each client.


Root cause: Internal economy, both budgeting and pricing


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