It just means that one business is less profitable than another, that's all.
Assume no deflation or inflation, right.
WHY would one business be less profitable than the other then according to you ?? After all, they both made $200 of profit according to you. The first one uses $1000,- in January, and sells for $1200,- in December ; the second one uses $10 000 000 in January, and sells for $10 000 200, - in December.
I was talking about profit margin, I thought it was evident. In fact, you are very hypocritical in your answers. At first you imply that businesses should have profit margin above nominal interest rate to be considered as profitable, since they could get there by just doing nothing. Then, when I point it out that you won't be able to get there since you can't eat at the money lenders interest (what you call real interest), you switch topics and start talking about risk-free financial instruments such as government bonds. But, as it turns out, in half of the cases these assets yield interest well below inflation, you again backpedal this issue and try to ridicule the facts through intimidating numbers. This won't work.
It doesn't matter how much money is "locked" as long as your profit is
above inflation. Why don't you loudly orate now about how much real income you would actually
lose if you "locked" money in these risk-free interest bearing assets, which, according to you, we should use as a yardstick for profitability? It was your idea after all, wasn't it?