This study examined the characteristics of management accounting informations according to the stages of Firm Life-Cycle based on Contingency Theory. This study divided Firm Life-Cycle into start-up stage, growth stage, mature stage and decline stage ...
This study examined the characteristics of management accounting informations according to the stages of Firm Life-Cycle based on Contingency Theory. This study divided Firm Life-Cycle into start-up stage, growth stage, mature stage and decline stage and investigates the business strategy related with each stage of Firm Life-Cycle. The types of business strategy regarded in this study are product differentiation and cost leadership. We find out there is a relationship between the stages of Firm Life-Cycle and the types of business strategies and it is necessary to provide different management accounting informations according to the selected strategy. This study proposes that management accounting informations have to be provided according to the firm"s strategy and the stage of firm"s Life-Cycle.