Markup calculation is a fundamental process for any business, enabling you to make informed decisions about pricing. In essence, it’s the percentage difference between the cost of your products or services and the final sale price. By calculating and tracking markups, businesses can determine their profitability, examine the effectiveness of promotions, and monitor industry trends to remain competitive. When used in conjunction with other evaluation measures, such as customer feedback, market research and data analysis, markup calculation can give companies valuable insights into improving their products and services.