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Unit Economics

Unit economics compares the revenue from a single unit, such as one order, ride or customer, with the costs directly tied to it. If each unit loses money, growing faster only increases losses.

Why It Matters

A startup can grow quickly and still be doomed if its unit economics never turn positive.

In India

Investors in Meesho’s 2025 IPO focused on whether its low-value orders could become profitable through advertising and logistics income.