Profit improvement strategies

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Profit improvement strategies

Analysis of profit margins – made vs bought, supplier margins and rates
Volume vs value, discounting, rebates, pricing – all need to be set at optimum levels.
Gross profit vs net profit [EBIT] – Gross profit runs the company <=> Net profit pays the taxman
Industry margins – an understanding of what other businesses of your size and type are achieving.
Market conditions – what significant trends have occurred in your market in the last two years.