Break-even analysis

Customer purchase preferences change; therefore you need to know which products you should continue because there is sufficient interest to cover the quantity required to be sold.

Important to prioritise products in a range; know the volume requirements of the less profitable products to break-even

Selling in a variety of markets such as another country may result in your selling prices being higher or lower for the same product.

Watching only the sales at the top line may expose the business when sales fluctuate; leading to under estimation of required budgets and forecasts.

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Break-even analysis