Gross Margin

Gross Margin

The difference between the revenue generated from sales and the cost of goods sold, expressed as a percentage. Gross margin indicates the profitability of a product or business and is often used to assess pricing strategies and cost control measures.

Related Terms

Incremental Revenue

Represents the additional profit generated by a business as a result of increased sales volume. It

Markdown Pricing

A pricing strategy where retailers lower the prices of products to boost sales and manage inventory