Total Cost of Ownership

Total Cost of Ownership (TCO) in International Trade

Meaning of Total Cost of Ownership (TCO), according to the Dictionary of International Trade (Global Negotiator): An estimate of the total cost of the goods, services or works over the whole of their life. It's the combination of the purchase price and all other expenses and benefits that they agency will incur e.g. installation and training, operating and maintenance costs, repairs, decommissioning and cost disposal and residual value on disposal. It is a tool often used to assess the costs, benefits and risks associated with the investment.