owing 1-29 Strategic decisions and management accounting. Consider the situations in which a firm is about to make a strategic decision. Decisions a. Julian Phones is about to decide whether to launch production and sale of a cell phone with standard features. b. Flint Computers is trying to decide whether to produce and sell a new home computer software package that includes the ability to interface with a thermostat and a refrigerator. There is no such software currently on the market. c. Maria Cosmetics has been asked to provide a "store brand" facial cream that will be sold at discount retail stores. d. Jansen Computers is considering developing a special line of computers that can be both a tablet and a computer. 1. For each decision, state whether the company is following a cost leadership or a product differentia- tion strategy. 2. For each decision, discuss what information the management accountant can provide about the source of competitive advantage for these firms.

1-29 Strategic decisions and management accounting. Considur situations in which a firm is about to make a strategic decision. Decisions a. Julian Phones is about to decide whether to launch production and sale of a cell phone with standard features. b. Flint Computers is trying to decide whether to produce and sell a new home computer software package that includes the ability to interface with a thermostat and a refrigerator. There is no such software currently on the market. c. Maria Cosmetics has been asked to provide a "store brand" facial cream that will be sold at discount retail stores. d. Jansen Computers is considering developing a special line of computers that can be both a tablet and a computer. 1. For each decision, state whether the company is following a cost leadership or a product differentia. tion strategy. 2. For each decision, discuss what information the management accountant can provide about the source of competitive advantage for these firms