Enty's Business Glossary:
ROI (Return on Investment) is a business metric that measures the efficiency of investments put into a product, project, advertisement, or company in general. To calculate ROI, deduct the cost of investment from the value of investment, and divide the result into the cost of investment. Investments here is a general definition and doesn’t mean the funds received from investors or incubators. Investments might be considered here as total expenses on a certain project, and value as total revenue from the investment that was put. ROI helps determine how effectively a company spent resources on a project or ads and compare current metrics with previous or future ROIs to observe the situation from a bird’s eye view.