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I'm just curious how bankers and the like value industries. Do they value them by the total sum of all company valuations, total sum of all company revenues or total sum of all company profits? Or something entirely different? If anyone in the industry knows could you enlighten me?


Whichever gets you the figure you want at the time. There's no real standard that's followed. The figures really only matter in context anyway; they mean nothing in a vacuum.


I think governments care about the amount of tax they generate, which is mostly the salary bill and the profit.




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