Theoretical research demonstrates the important role of uncertainty in shaping a firm’s cost elasticity. We contribute to this literature by analyzing the inherent tension between the effects of uncertainty about unit contribution margin (CM) and sales volume on cost elasticity. We identify the occurrence of words implying uncertainty in managerial forward-looking statements and employ a novel methodology to construct distinct measures of the managerial perceptions of overall, unit CM, and volume uncertainty. We find a significantly positive (negative) association between the uncertainty about unit CM (volume) and cost elasticity. These associations vary predictably with firm and industry characteristics. Our empirical evidence supports the theoretical argument that managerial perceptions of uncertainty and its components differentially influence their resource allocation decisions and suggests that any analysis of the relation between uncertainty and a firm’s cost elasticity should specify the type of uncertainty as well as the firm and industry characteristics.

理论研究证明了不确定性在塑造企业成本弹性方面的重要作用。我们通过分析单位贡献边际 (CM) 的不确定性和销售量对成本弹性的影响之间的内在紧张关系来为该文献做出贡献。我们确定了在管理前瞻性陈述中暗示不确定性的词语的出现，并采用一种新颖的方法来构建对整体、单位 CM 和数量不确定性的管理感知的不同度量。我们发现单位 CM（体积）的不确定性和成本弹性之间存在显着正（负）关联。这些关联随着公司和行业特征的不同而不同。