SISTEMA DE COSTOS EN LA INDUSTRIA FLORÍCOLA ECUATORIANA

Abstract

The Ecuadorian flower industry competes on the global level in terms of both quality and costs. The Ecuadorian flower industry consists mostly of small and medium enterprises (SMEs). SMEs represent approximately 62% of the industry. Most are family businesses growing an average of six hectares. The majority of these companies do not use cost systems, which makes it difficult for them to make correct and timely decisions. This paper seeks to demonstrate the advantages of process cost systems for Ecuadorian flower companies. A thorough analysis of the factors that characterize the industry shows that this is the best-suited method. Data derived from business processes is presented to show that control of costs within flower companies leads to proper allocation of resources. This research used a descriptive approach, collecting direct information from six companies located in southern Ecuador and documented information from many of the companies in the Cotopaxi and Pichincha provinces.