Should Startups Focus on Profitability or Not?
Both Sides of the Table
DECEMBER 27, 2011
Gross Profit (also called Gross Margin or sometimes “Net Revenue”). And assuming they both had the same net profit margins (profit / revenue) then the former company would be much better off at the end of the year. If there was strong market demand for their product then this investment might pay off handsomely.
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