Return on Investment (ROI) in Evaluation

Return on Investment (ROI) in evaluation measures the benefit gained from an investment relative to its cost. It helps assess the effectiveness of a program or project by comparing the financial return to the resources spent. In simple terms, if you invest money into a business or initiative, ROI tells you how much profit or value you get back compared to what you put in. A higher ROI indicates a more successful investment, making it a useful tool for decision-making and understanding overall economic impact.