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Business strategy
What is the appropriate profit margin?
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[QUOTE="Etini, post: 345474, member: 90141"] When you want to fix profit margins for your business, you would have to consider the turnover of your business and the nature of the products. If it is common products like food that have high turnovers, you can fix your profit margin low typically lower than 10%. You would still make good money. If you are selling tangible products like electronics that doesn't sell as quick, it is fair to keep your profit margins at 20% to 25%. Another factor that should also be considered is the scarcity level of the products or service you are selling. [/QUOTE]
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What is the appropriate profit margin?
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