Theoretical Evidence 4 Chapter 4 Business Operation

Learning Unit: International Finance for Multinationals Facilitator: DERO Juan Pablo Salas del Río
Semester: 8
Career Bachelor in International Business
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KPI (Keep Performance Indicators)

These are the specific points that the company measures to the executives. These points represent money.

10 Main KPIs

Operating Costs
Gross Sales
Net Sales
Customer Traffic
Average Sale Ticket
Decrease
Bonuses
Start-up Cost
Return on Investment
Profit

Operating Cost

It refers to the money withdrawals caused by the daily activities of the company.

Gross Sales

It refers to the sale to which no cost or tax has yet to be removed.

Net Sales

It refers to the sale to which the operating costs are taken away.

Customer traffic

It refers to the number of customers who came to buy in the store in a period of time.

Average sales ticket

It refers to the average value of the sale made to customers over a period of time.

Decrease

It refers to expired, stolen, damaged merchandise.

Bonuses

It refers to the money that the company has to return to the customer due to damaged, expired or disliked merchandise.

Start-up cost

It refers to the money that the company has to invest for the construction of the business.

Return on investment

It refers to the time it takes for the company to recover the money invested in a business.

Profit

It refers to the monetary gain that the company will obtain from operating the business.