The Effectiveness of Application LRIC (Long Run Incremental Cost) in the Jordanian Telecommunication Companies

Abdullah Mahmoud Yousef Jwaifel, Robert Greenwood, Robin Matthews


ThisStudy aims to investigate in the effectiveness of application LRIC (Long RunIncremental Cost) in the Jordanian Telecommunication Companies, to achieve themain goals of this study, the researcher decides to distribute Questionnaire tothe financial decision makers in these companies which are represented by:Financial Managers, Cost Accountants, Accounts managers (Chief Accountants) andQuality Assurance Managers.The researcher used several axes to thequestionnaire which presented to the target audience in the three companies(Orange, Zain & Umniah), and these axes were formulated in: FinancialPerformance, Operational Performance & Competitive Performance, throughthese axes the researcher put some questions he think it would be able todisclosure of the fact the application of the LRIC model in the companiesabove.The result of this study came under the researcher expectations, whereindicates the existence of a correlation between the applying LRIC models onthe Jordanian Telecommunications Companies and (Financial Performance,Operational Performance & Competitive Performance) But in varying degrees.Keywords: (LRIC) Long Run Incremental Cost,Telecommunications Regulatory Commission (TRC), JordanianTelecommunication Industry (JTI), JordanMobile Telephone Services Company (Zain), Jordan Telecom Company (Orange).

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