Definition: Funds used by a business to acquire or upgrade physical assets like property or equipment.
Use Case: The factory invests in new machinery as part of its annual CapEx budget.
Definition: The movement of money into and out of a business over a specific period.
Use Case: The CFO monitors monthly cash flow statements to avoid liquidity shortages.
Definition: A unique attribute that allows a business to outperform competitors.
Use Case: Apple’s design and ecosystem provide a sustainable competitive advantage.
Definition: A defining capability or expertise that gives a company a strategic edge.
Use Case: Amazon’s logistics network is a core competency that enables fast delivery.
Definition: The predicted total value a customer brings to a business over their relationship lifespan.
Use Case: Marketing increases retention campaigns after noticing a decline in CLV.
Definition: The percentage of customers who stop using a service over a given time.
Use Case: The subscription platform reduces churn by improving onboarding and customer support.
Definition: Direct costs associated with producing goods sold by a company.
Use Case: The finance team recalculates COGS monthly to assess product profitability.
Definition: Raising small amounts of money from a large number of people, typically via online platforms.
Use Case: A tech startup uses Kickstarter to crowdfund its new smartwatch.
Definition: The system of rules, practices, and processes by which a company is directed and controlled.
Use Case: The board updates corporate governance policies to enhance transparency.
Definition: The percentage of users who complete a desired action, such as making a purchase or filling a form.
Use Case: The marketing team optimizes the website to increase the conversion rate from ads.
Definition: The rate at which a company spends cash reserves before generating positive cash flow.
Use Case: The startup reduces its burn rate by cutting nonessential expenses.
Definition: The structured approach for transitioning individuals, teams, or organizations to a desired future state.
Use Case: The HR department leads change management during a corporate merger.
Definition: A company’s commitment to operate ethically and contribute to societal well-being.
Use Case: The company donates 5% of profits to environmental restoration as part of CSR.
Definition: Delivering computing services over the internet, including storage, databases, and networking.
Use Case: The company migrated to cloud computing to improve data accessibility.
Definition: Assessing competitors’ strengths and weaknesses to identify market opportunities.
Use Case: The marketing team performed a competitive analysis before launching a new product.
Definition: The study of how individuals decide to spend their resources on products and services.
Use Case: Market research identified changes in consumer behavior post-pandemic.
Definition: The shared values, beliefs, and behaviors that shape an organization’s environment.
Use Case: The CEO promoted an inclusive corporate culture to improve morale.
Definition: A strategy focused on being the lowest-cost producer in an industry.
Use Case: Walmart maintains cost leadership through economies of scale.
Definition: Evaluating the financial worth of a decision by comparing expected costs and benefits.
Use Case: Before adopting new software, management performed a cost-benefit analysis.
Definition: When a new product eats into the sales of an existing one from the same company.
Use Case: The company’s low-cost line caused sales cannibalization of its premium models.
Definition: The process of evaluating long-term investment opportunities.
Use Case: The CFO used capital budgeting to decide whether to build a new warehouse.
Definition: A situation where different sales channels of the same company compete against each other.
Use Case: Online discounts led to channel conflict with brick-and-mortar retailers.
Definition: An economic model focused on reusing, recycling, and reducing waste.
Use Case: The clothing brand adopted a circular economy model by collecting old garments for resale.
Definition: The percentage of users who click on a specific link compared to total views.
Use Case: A higher CTR indicated that the new ad creative resonated with target customers.
Definition: The process of moving digital assets and applications from local servers to the cloud.
Use Case: The enterprise completed cloud migration to improve scalability and security.
Definition: Setting product prices based on competitors’ rates rather than internal costs.
Use Case: The eCommerce site adjusted its pricing strategy after analyzing rival stores.
Definition: A review ensuring that a company follows relevant laws, regulations, and policies.
Use Case: The firm underwent a compliance audit to meet data protection standards.
Definition: Techniques and processes used to resolve disputes within an organization.
Use Case: HR facilitated conflict resolution between departments to restore cooperation.
Definition: A measure of how optimistic consumers are about the economy’s health.
Use Case: Retailers increased marketing during high CCI periods to boost sales.
Definition: An ongoing effort to enhance products, services, or processes incrementally.
Use Case: The manufacturer uses feedback loops to drive continuous improvement on the production floor.
Definition: The visual and cultural representation of a company’s brand, including logo, tone, and design.
Use Case: The rebranding initiative modernized the company’s corporate identity.
Definition: The process of assigning shared costs to different departments or products.
Use Case: Utilities were cost-allocated between production and administrative departments.
Definition: Encouraging customers to purchase complementary products.
Use Case: The sales team cross-sells accessories when customers buy smartphones
Social Proof