Return on Investment (ROI)

Kapitalrendite (ROI) is a financial performance metric that measures the gain or loss generated by an investment relative to its cost, normally expressed as a percentage. In product design, Innovation, research and production, ROI is used to evaluate and compare initiatives by estimating incremental revenue, cost savings or strategic value against development, tooling and operational expenditures to prioritize resources. Because ROI depends on time horizon, assumptions and non‑financial benefits (e.g., learning, IP, market positioning), it should be interpreted alongside risk‑adjusted metrics and qualitative KPIs when making investment decisions.