Question

The performance of business in the private sector is measured by:(a) Profitability(b) Customer Satisfaction(c) No of employees(d) The salary of Managing Director

Answer 1

Here is the answer: Private companies rely on both non‐financial and financial measures of evaluation of the performance.

The profit margin, as an essential or basic financial measure that is most commonly used in performance measurement.

Customer satisfaction is the mainly the commonly used non‐financial measure of evaluation of the performance.