ROI Definitions

  • B

    balanced scorecard

    The balanced scorecard is a management system aimed at translating an organization's strategic goals into a set of performance objectives that, in turn, are measured, monitored and changed if necessary to ensure that the organization's strategic goals are met.

  • D

    dot-com bubble

    The dot-com bubble, also referred to as the Internet bubble, refers to the period between 1995 and 2000 when investors pumped money into Internet-based startups in the hopes that these fledgling companies would soon turn a profit.

  • E

    EBITDA ( earnings before interest, taxes, depreciation, and amortization)

    EBITDA stands for 'earnings before interest, taxes, depreciation, and amortization.'

  • F

    Fortune 500

    The Fortune 500 is Fortune Magazine's annual ranking of the United States' 500 largest corporations. The list is important because it provides the general public with a sense for which companies have the ability to influence the economy in the United States and whether or not those companies are healthy.  

  • G

    growth potential

    Growth potential is an organization's future ability to generate larger profits, expand its workforce and ramp up its production.

  • I

    infonomics

    Infonomics is a social science that involves studying the production and consumption of information and the transfer of money to produce, sell or obtain it. Simply put, infonomics is the economics of information.

  • IT prioritization

    IT prioritization is the process of initiating IT projects and procedures based on both the immediate and long-term needs of an organization.

  • IT service catalog

    An IT service catalog, sometimes called an IT service portfolio, is a list of available technology resources and offerings within an organization. The catalog contains information about deliverables, prices, contact points and processes for requesting a service.

  • L

    LBO (leveraged buyout)

    An LBO or leveraged buyout is the purchase of a company or single asset using a large amount of borrowed money, supplemented with some equity from the acquirer.

  • Learning Guide: ROI

    Discover more about return on investment, including how to calculate ROI, in this learning guide.

  • R

    retargeting

    Retargeting is a type of online advertising whereby companies focus on particular audience members for promotions based on users' prior Internet search history or site visits.

  • ROI (return on investment)

    For a given use of money in an enterprise, the ROI (return on investment) is how much profit or cost saving is realized as a result.

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