We immediately associate it with the path a company or income-spending process should follow, to determine that it is on the right track.
Written by: Mario Sosedo Gomez
When we read or hear about what a break-even point is, we immediately associate it with the path a business or investment should follow. Entry–spendingto determine if you are on the right track.
Because, in principle, what is necessary to cover expenses has already been recovered, and since then, according to the business plan, everything will work out to the realization of what is known in investments as profit, which is the main goal. And this is the case when any investment begins in what will become the company and the business and its aspects, where the first achievement is to get to that point, which will indicate that everything is as planned and what follows will be satisfactory.
This is the difference between private and public investment, as the first looks for economic profitability, and the second relates to social profitability, which makes each successful in its goal.
This happens when each of its objectives is effectively achieved so that its robustness is lasting and very successful, to reach what has been suggested in its projects.
But contrary to what is observed in private projects, in a public project it will be difficult to obtain a counter that determines social profitability, because much of what is achieved can only be measured by the pulse of the media.
This is the most frequently used method that has been used to measure the profitability of government projects, often making it difficult to find.
Because the main indicator, to reach the so-called balance point in the government and this becomes its development plan, because it is the document that indicates most of the requirements of society.
But more than that, it occurs when, after the arrival of a new government, the majority of the members of the local, state or national community enjoy better welfare, and the path they follow is on the ascendant for that purpose.
As it can happen in private investment, where the project leads to a successful destination, when it first reaches the so-called break-even point because the next step will be to get the first peso and it will be useful.
At the moment, it is difficult to determine the equilibrium point for many companies and companies, because the impact of the epidemic has been great, because its continuation was critical and some are recovering.
The same thing happens in the work of the government, where it is difficult to reach a point of equilibrium, in satisfying social needs of all kinds, due to the principle of accumulation of delays and lack of economic resources.
The path to be followed in the private sector is the efficiency and effectiveness of its administrative and operational activities and the reinvention of itself, because the pandemic has changed the scenario because it may be in the same place, but now different times.
As in the work of government, where a well-promoted motto is quite appropriate, “do more with less” the concept of work can also be applied, which becomes productive in exercise
And here yes, the point of equilibrium will be the satisfaction of society and its productive sectors, because everyone will receive the attention that governments always demand and seek.
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