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Moving on from ROI to ROE, a Return on Empathy

Strategy Driven

Business has always concentrated on Return on Investment (ROI) as the primary metric to calculate success. Those making this shift will gain a significant ROE – Return on Empathy. Control, one of the six core emotional needs I discuss in Empathetic Marketing , fuels our motivations in every aspect of our lives.

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A Refresher on Return on Assets and Return on Equity

Harvard Business Review

In the broadest sense, says Knight, “it’s the ultimate ROI” “It tells you what percentage of every dollar invested in the business was returned to you as profit.” What is Return on Equity (ROE)? Unlike ROA, you want the ROE to be as high as possible, but there are limitations.

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Women Directors Change How Boards Work

Harvard Business Review

And while research about financial performance is still in its infancy — Catalyst has found a strong correlation between the number of women on boards and in the C-Suite and ROI and ROE of company returns — we’re starting to learn more about the important ways women are changing the inner workings of boards.

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