While ROI is a valuable metric, it has its limitations:
Timeframe: ROI does not account for the time period of the investment, which can be critical in understanding the true value of returns. Risk Factors: ROI does not consider the risk associated with the investment. Two investments with the same ROI might have different levels of risk. Non-financial Benefits: ROI only measures financial returns and may overlook non-monetary benefits such as brand equity or customer satisfaction.