Benefits of ROI.
Benefits of ROI.
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1.Compare profitability among different brand or sector.
Suppose a distributor is working with five different company , so
without calculating ROI , he cannot say which company is more profitable than
other. Also it helps a business man to determine earning ration in different
sector. Like FMCG, electronics, construction, automobile etc.
2.Business health.
ROI can help in determining business. If ROI is in positive figure
, that means he is making profit . If ROI is
negative figure that means he is making loss.
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