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I don't follow the logic as it pertains to retail. It's quite easy to get revenue per employee to be as close to zero as you want. Simply hire more workers.
by yequalsx 17y ago
I don't follow the logic as it pertains to retail. It's quite easy to get revenue per employee to be as close to zero as you want. Simply hire more workers. Investors in retail stocks are not looking for revenue per employee to be as low as possible. They are more focused on things like sales per square foot of their stores.
Razor thin margins are the goal but only if it is achieved through the right process. Hence, people look at other metrics.
- fnid2 17y agoRazor thin margins are a sign that the retail business is operating as efficiently as possible.