Profitability in companies. i dont get it. pls explain.

444 views 2 replies

Hello People

When the inflation is between 10-15%(unofficially...dont ask where I pulled this figure out but I've read this somewhere online atleast a couple of times recently ) why do businessmen do business when the net profit margin is below 15%? I'm not accounting champ or from the commerce background but am just a regular guy doing business. My personal view is that it does make sense to do business if you dont make atleast 5% inflation adjusted returns.

Am I thinking right?

Thanks

Raj

Replies (2)

am not sure... but the inflation rate may be overall.. not industry speicific..

Originally posted by : *Sree*

am not sure... but the inflation rate may be overall.. not industry speicific..

Lets assume its overall. It just doesn't make sense does it to do business at a net profit % less than the inflation?

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
20 June 2026
Assistant Accounts Manager

Fintax Professionals

Gurgaon

CA Inter

View Details
Company
29 May 2026
Finance Head

Bhawar Sales Corporation

Chennai

Graduate (Any)

View Details
Company
01 June 2026
Audit, Taxation & Compliance Executive

R P S K & Associates

Nashik

CA Inter

View Details
Company
24 June 2026
Chartered Accountant - GST & Direct Tax

APL

Mumbai

CA

View Details
Company
10 June 2026
Senior Account Executive

JDS Advisory LLP

Ahmedabad

CA Inter

View Details
Company
22 June 2026
Finance Manager- Chartered Accountant

Triveni Turbine Limited

Bengaluru

CA

View Details
Company
ARTICLESHIP 24 June 2026
CA Article Trainee

Rahul Dang & Associates

Pune

CA Inter

View Details
Company
ARTICLESHIP 20 June 2026
Articleship

RB KESHRI & CO

Mumbai

B.Com

View Details