Examlex
Blue ocean strategy focuses on _____.
Margin of Safety
The difference between actual sales and the break-even point, used to assess the risk of loss from declining sales.
Fixed Costs
Costs that do not vary with the volume of production or sales, such as rent, salaries, and insurance premiums.
Variable Costs
Expenses that change in proportion to the amount of goods produced or the volume of sales, including labor and materials.
Operating Leverage
Operating leverage is a measure of how revenue growth translates into growth in operating income, highlighting the scalability of a company’s business model.
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