Which of the following is an example of a qualitative performance indicator?

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Qualitative performance indicators are metrics that assess characteristics that are often subjective and cannot easily be quantified with numbers. They provide insights into the quality of performance, experiences, or perceptions within a business context.

Customer satisfaction ratings serve as a prime example of a qualitative performance indicator because they reflect customers' feelings, opinions, and satisfaction levels regarding a product or service. These ratings often come from surveys or feedback forms where customers provide their thoughts, making them inherently qualitative in nature. This type of measure is crucial for understanding customer experiences, loyalty, and overall business performance from a human perspective.

In contrast, the other indicators mentioned—such as revenue growth percentage, net profit margin, and market share percentage—are all quantitative. They provide numerical data that can be directly measured and analyzed statistically, allowing businesses to track financial performance and market positioning through hard metrics. These quantitative metrics focus on numbers rather than subjective experiences or perceptions, differentiating them from qualitative indicators like customer satisfaction ratings.

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