Can someone explain the factors that contribute to business profit?

[rubesh]

Growing profits entails increasing income and/or decreasing expenses.A company's revenue can be increased through growing its client base, raising pricing, or introducing new products and services. A company may save costs through simplifying procedures, cutting back on spending, and negotiating better terms with suppliers.


Answer 2: Looking at the existing client base is another viable strategy to boost income. Is it possible to upsell existing consumers or increase the frequency of their purchases?
Furthermore, organizations might think about measures to improve client loyalty, such as loyalty programs and prizes.

 

[Springtime]

Factors which contribute to the increase of profits may include reducing costs, increasing sales, increasing productivity, and increasing efficiency. You can also expand into new market sectors, or develop new products or services to increase sales and profits.

 

[eldavis]

One major factor i believe also contribute to making profit in a business is your ability to render customer satisfaction to your customers. To be able to do this, you will definitely have more customers coming to you.

 

[Stardom22]

I think the business can only make profits if it generates more sales. So the factors that can lead to the generation of more sales is ensuring the offering of the excellent customer services to the satisfaction.

 

[Chibson]

One of the major factors that contributes to profit is the level of demand of the product you are selling. If a product you are selling is in high demand and it solves problem you will make profit.

 

[Stardom22]

The are some factors that contribute to the profit generation. Some of them are reduced cost of production, promotion for the higher sales volume among others.

 

[nomad]

More sales means more products and sales will come only when you are selling good products and use a good marketing

 

[Shavkat]

Marketing strategies should be always innovative and updated to withstand the newest trends in the business world.

 

[Fidelia]

If you have more customers, that is when it would translate to more sales for you to make more profits.

 

[Shavkat]

If you have more customers, that is when it would translate to more sales for you to make more profits.

We can put it on that way. I always believe that the logic of demand and supply principle. When the demand increases, the supply will do the same thing.

 

[Ratine]

In most cases the business profits may be affected by the volume of sales and the availability of the market.

 

[Etini Willie]

Primarily, when the expenses that a business runs is lower than the revenue the business gets from selling it's products, they are in profit.