measuring success in business Flashcards
what is capital employed
the amount of money invested in starting or operating a business, usually during its establishment or in the middle stages
how does capital employed measure business success
measures the amount of money invested in starting or operating a business, indicating whether the business is growing or expanding
how does revenue measure business success
measures success by tracking increases year over year, setting goals, and comparing with competitors
how does market share measure business success
measures success by showing if a business is winning consumers from competitors, indicating a competitive edge
how does customer satisfaction measure business success
customer satisfaction measures success through feedback, surveys, and complaints, with higher satisfaction leading to increased revenue
how does profit measure business success
measures success by showing annual increases
how does growth measure business success
growth can be measured by turnover (revenue), number of employees, market share, and capital employed, showing overall expansion of the business
how does turnover measure business success
turnover (revenue) measures success by indicating the increase in business production and sales, showing growth
how does the number of employees measure business success
the number of employees measures success by showing whether the business is expanding its workforce in line with growing production and sales
how does market share measure business success
market share measures success by showing the business’s dominance in its sector, indicating that its products are highly valued by consumers
how does the amount of capital employed measure business success
capital employed measures success by showing if the business is investing more in its operations, indicating growth and expansion
how does employee satisfaction measure business success
employee satisfaction measures success through factors like salary, job security, and working conditions, which can affect productivity and overall business morale
