ROI — Return on Investment
Definition: A performance measure used to evaluate the efficiency or profitability of an investment.
Example
In board meetings, you'll often hear something like: "Let's pull the latest ROI numbers before we make a call" — shorthand for return on investment.
When you'll hear it
ROI shows up most often in board meetings, quarterly business reviews, and strategy off-sites. When someone uses it, they're usually referring to return on investment — and they expect the room to already know what that means.
FAQs
What does ROI stand for?
ROI stands for Return on Investment.
What does ROI mean in business and finance?
A performance measure used to evaluate the efficiency or profitability of an investment.
Where will I hear ROI used at work?
ROI comes up most often in board meetings, quarterly business reviews, and strategy off-sites. It's used as shorthand for return on investment, so people assume you already know the term.