Measuring Company Performance

Profitability = is typically thought of in terms of one company's profitability relative to that of other companies in the same or a similar kind of business or industry Efficiency = the ability to accomplish a task with a minimum amount of waste Productivity = the rate at which goods or services are produced Solvency = the ability of a company to meet its long-term financial obligations

Return on Investment (ROI) = a measure of a company's profitability relative to its costs Market Share = the percentage of the market that a company controls Earnings Per Share (EPS) = a company's profit divided by its number of outstanding shares Competitive Advantage = is typically thought of in terms of one company's profitability relative to that of other companies in the same or a similar kind of business or industry

Industry Analysis = the process of researching and analyzing an industry to better understand its trends and prospects Competitive Analysis = is typically thought of in terms of one company's profitability relative to that of other companies in the same or a similar kind of business or industry Market Research = the process of gathering and analyzing data about a target market SWOT Analysis = a tool used to identify a company's strengths, weaknesses, opportunities, and threats

<p>Price-to-Earnings (P/E) Ratio = a measure of a company's stock price relative to its earnings Debt-to-Equity Ratio = a measure of a company's debt relative to its shareholder equity Current Ratio = a measure of a company's ability to pay its short-term debts Profitability Ratio = is typically thought of in terms of one company's profitability relative to that of other companies in the same or a similar kind of business or industry</p> Signup and view all the answers

<p>Benchmarking = the process of comparing a company's performance to that of its peers Strategic Planning = the process of developing a company's long-term goals and objectives Operational Efficiency = the ability of a company to produce goods and services at a low cost Competitive Positioning = is typically thought of in terms of one company's profitability relative to that of other companies in the same or a similar kind of business or industry</p> Signup and view all the answers