Ways to Grow Your Business
by Joe Dinoffer -
May 22, 2007
There are three general ways that businesses can grow: increase the number of sales, increase the profitability of each unit sold, and increase the frequency with which each customer purchases. When each of these profit-making principles are increased by 10%, the overall increase in profits becomes an impressive 33%. For example, if the number of lessons taught was increased by 10%, the price of each lesson was increased by 10%, and the frequency with which each lesson-taking student took lessons was increased by 10%, then the overall increase in net revenues would be a sizable 33%.
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