ikussain Posted March 7, 2019 Share Posted March 7, 2019 Hi everyone, I have been reading McKinsey's Valuation book, and stumbled upon this: "Price premiums offer any business the greatest scope for achieving an attractive ROIC, but they are usually more difficult to achieve than cost efficiencies." It is not quite obvious to me 1. why cost advantages are easier to achieve than price advantages, and 2. why price premiums are more beneficial to company's returns than cost advantages. Your help would be very much appreciated. Link to comment Share on other sites More sharing options...
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