higher-margin
Meaning
(of a product, service, or business activity) generating a relatively greater amount of profit per unit of sale
Structure
Usage
The company is shifting its focus to higher-margin software products.
This strategy aims to boost revenue by selling higher-margin services.
Investors are attracted to businesses with a portfolio of higher-margin goods.
Etymology
The compound adjective 'higher-margin' is a modern business term built from native English elements. The core adjective 'high', with ancient Germanic roots relating to elevation, takes the comparative suffix '-er' to denote a greater degree. This modified adjective is hyphenated to 'margin', a word of Latin origin which evolved from the concrete meaning of an 'edge' or 'border' to the abstract financial concept of the difference between two amounts, representing profit. The logic of the term is transparent: it literally describes a commercial activity characterized by a profit 'margin' that is 'higher' or greater than another.
Analysis
- high: From Old English hēah, of Germanic origin; related to Dutch hoog and German hoch. Functions as the base adjective. - er: From Old English -ra, the comparative suffix for adjectives. Functions as a grammatical suffix creating the comparative form. - margin: From Latin margo (edge, border), via Old French marge. In commercial context, it refers to the difference between cost and selling price, i.e., profit.