利幅

• Reading: りはば
• Romaji: rihaba
• Kanji breakdown: 利 (ri) — profit, gain; 幅 (haba) — width, breadth, range
• Pronunciation: /ɾihaba/

Meaning

Profit margin; markup; the breadth or magnitude of profit earned on a transaction or product.

Combines 利 (profit) and 幅 (width, breadth) to express the size of the profit on a single transaction or across a product category. While 利鞘 emphasises the spread between two specific price points, 利幅 focuses on the overall magnitude of profit. 利幅が広い (wide margin) vs 利幅が薄い (thin margin) are common commercial expressions, and 利幅を確保する (to secure a profit margin) appears in business planning.

Examples

1. 高付加価値製品に移行することで、利幅を拡大する戦略を取った。 The company adopted a strategy of shifting to high-value-added products in order to widen its profit margins.
2. 競争が激化し、業界全体で利幅が薄くなっている。 Competition has intensified, and profit margins are thinning across the industry as a whole.
3. 直販モデルは中間業者を省くことで利幅を改善できる。 A direct sales model can improve profit margins by eliminating intermediaries.

Usage Guide

Context: business, retail, manufacturing, pricing

Tone: neutral

Origin & History

Compound of 利 (profit, gain) and 幅 (width, breadth — measuring the extent of something). The spatial metaphor of 'width' applied to profit emphasises magnitude rather than a specific price point, making it a natural commercial extension in Japanese.

Cultural Context

Era: Modern

Generation: Adults

Social background: Business