business acumen


Five Business Acumen Interview Questions You Should Be Asking

June 25, 2014

“The smartest business decision you can make is to hire qualified people. Bringing the right people on board saves you thousands, and your business will run smoothly and efficiently.”

Brian Tracy


Obviously, hiring qualified people is a priority of every organization. The question is how exactly can you tell if a person is qualified?

We believe that a qualified person doesn’t just understand the role you are trying to fill but also has a sound understanding of business. They have the ability to see the “big picture” and make business decisions for the company as a whole — rather than only having a narrow focus on what’s best for their function or department. In other words, they have business acumen.

While it may be hard to gain a comprehensive understanding of an applicant’s business acumen, here are 5 questions that will give you an idea about how much they “get” business. And if you are a job seeker, you may want to know the answer to these questions as well.

  1. What does profit margin tell you, and how do you improve it?

  2. Name some companies that likely have high profit margins and why that would be the case.

  3. Name some companies that likely have low profit margins and why that would be the case.

  4. What is the difference between profit and cash flow?

  5. What usually impacts a company’s profit more in the short run – increasing sales or lowering costs?

Interested in improving your career by better understanding business acumen?

Now is the time for business acumen training.

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