4min chapter

In Practise Interviews cover image

Bergman & Beving: The Original Serial Acquirer

In Practise Interviews

CHAPTER

Bavanabere's Gross Margin Is Higher Than Lagercranz

The urban and urban's gross margins are really high. Lagercranz started off at 25% and they're still only at 38%. So why is that? It's a very good question. And one of the reasons for that improvement is that we have now emphasized the focus on areas where we add value to our customers. That is in areas where we have typically better margins. The cost, the cost is much higher in Bavanabere because we need to have two business model to generate that gross margin.

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