WIU - How to Increase Profits

WIU – How to Increase Profits
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WIU – How to Increase Profits
Introduction
All businesses start with the main goal of making a profit. No business starts with the aim of making losses every year and a business that incurs losses often is said to be experiencing problems. Earning a profit is thus an important step for any business, and it is crucial that the management of any company takes the initiative and concocts a plan to help it turn profitable. It is impossible for a business to remain operational if it is not able to turn a profit. The management of a company needs to understand the importance of making profits and make sure they institute strategies to help ensure a business is profitable. Making profits is important for a variety of reasons one of them being it makes it possible to consider the expansion of a business. The expansion could involve the opening of new branches or increasing the number of sales outlets. For colleges, expansion could involve hiring more staff, acquiring new and expensive equipment, or including more courses in the school’s program. These cannot be possible if the college is not making any money. The second reason why it is important for a business to make profits is so that they make it easier for themselves to attract investors. Attracting investors can be a problem for companies. Securing funding can be problematic if a business is not making profits because investors look at the financial history of a business. If all the history shows are losses, then it will be difficult for a business to secure funding. Turning profitable is also essential as it helps organizations hire more people to help with their expansion strategies. Schools need to hire and pay their staff members, but this cannot happen if they are not making any profits. This paper thus seeks to showcase the fact that it is essential for businesses to make profits and some of the ways they can use to increase profits.
The Problem
The problem under study or review is a simple fact that WIU is not making any profits. For schools, it is more problematic to want to make profits compared to businesses because people start doubting the school’s viability and goal. People believe that schools need to focus on improving the performance of their students and not be in the business of making profits. However, schools also need to earn profits or else they will not be able to sustain themselves and do basic things like paying their staff members or doing the most basic thing they are expected to do, for example, educating their students. Education is and should be the main goal for colleges. However, if schools work with this mantra, many of them will not be functional in the next coming year or two. Schools do need money and thus making profits is a realistic goal.
There are several reasons why WIU may not be making profits, and one of them could be the lack of a financial goal. While going into business, it is advisable to have an income goal in mind. All businesses need a structure and strategy to help them grow and become prof...