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Reducing the Risk of Low Profitability

Because the success of all businesses depends upon delivering sustainable profitability, low-profitability has become an enterprise-wide concern. In many industries, profits are hard to come by and even harder to maintain, creating reason for focus and concern for both corporate leaders and their stakeholders. Some of this can be attributed to digital disruption that made old business models obsolete. For other industries, such as coal, oil and gas, have been affected by low energy prices, shifting consumer preferences and macro factors including environmental impacts. Regardless of the industry, business leaders need to take action to reduce the risk of low profitability.

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