ph4nt on 01 January 2009
| leo-j said: Then how can nintendo buy all of sony then? If sony makes 8 times as much revenue as nintendo? Makes no sense |
Revenue is the raw amount of $$$ that a company gets, profit is how much money you REALLY make.
Say it costs $100 to make a game system and Sony is selling them for $101, sell a thousand and you have $1000 profit, but over 100,000 net revenue.
Say Nintendo makes a console for $20 and it sells for $50, sell 1,000 and you make $30,000 profit despite having less than half the total revenue.
get it?
