Measures to Maximise Revenue Flashcards
9.1 The Principles of Finance (2 cards)
1
Q
How do you max profit margins and revenue?
A
A business can reduce or remove its production or service costs
2
Q
Implcations to Profitability, Reputation and Quality.
A
When a business takes measures to maximise revenue, it must conside the implications these cahnges will have.
If a business tries to increase revenue by reducing costs, this can have a negative impact on the quality of its service or product, ad there may be fewer clients willing to purchase the service or customers to purchace revenue.
