Word: profitable
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Dates: during 1970-1979
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...expanding investments in the Sunbelt, in Taiwan, in South Africa, and the desertion of the northeastern and central states. These managers claim their pattern of investment is necessary to produce the highest return, so that future retirees are guaranteed pensions. In boththe shourt and long-term, however, this profit motive works to the disadvantage of the beneficiaries of the funds...
...lines do not want to streamline fares just for the sake of convenience. Overall, the cheaper fares have cut average ticket prices about 5% this year, while operating costs are rising 13% or 14% annually. The airlines' overall profit margin is still only 4.3%, which is well below the 5.3% average for all U.S. industry. They must earn at least as much next year as they will in 1978 in order to finance the new planes that they will need in the 1980s. Increasing fares, the most obvious answer, could prove politically difficult. So, to hold their 1979 earnings...
Price has been the major deterrent. A computer system costs about $20,000 per check-out lane, or $150,000 for the average supermarket-a stiff investment for a chain commonly operating on profit margins of 2% or less. Still, most chains are now testing the systems and are pleased with their performance. The number of installations is slowly growing, with 500 units expected to be in place by year's end and 1,000 by 1980. The surviving equipment-makers are still counting on huge sales eventually, but the wait in line is going to be long...
...losses. Additionally, Murdoch's New York magazine and Village Voice picked up a circulation and ad revenue windfall from the strike-Voice ad pages are running about double normal levels-and some of the city's Murdoch-haters believe the man may even have turned a profit from the dispute...
...exports and, if anything, the gap has widened. The large American multinationals, such as GM, Ford, ITT, Kodak and IBM, understandably do not wish to undercut their foreign operations by increasing exports of finished products from the U.S. To a degree, multinationals benefit the U.S. because much of their profit is returned home in the form of retained earnings ($20 billion in 1977). Yet in a world that still reckons trade on a nation-to-nation basis, the great productivity of the multinationals abroad does not help the appearance of the U.S. import-export numbers...