Zero-Based Budgeting (ZBB)

Zero-Based Budgeting (ZBB)

A budgeting approach where all expenses must be justified for each new budget period, rather than basing the budget on previous spending levels. ZBB requires departments and managers to justify every expense, starting from a “zero base,” which can lead to more efficient resource allocation and cost control.

Related Terms

Assortment

The variety of products that a retailer offers for sale to meet the diverse preferences and

Consumer Promotion

Also known as sales promotion, is a temporary marketing strategy aimed at boosting brand awareness and

Market Share

Represents the portion of an industry’s total sales that is accounted for by a specific company