Profit Margins are defined as a firm's profits divided by its revenue. They can be measured as a company's ability to rip off its customers without them knowing it. It can also be an indication of the organization's ability to compete in a pricing war. Below is 2011 data from Forbes Magazine, sorted within the seven sectors of the American economy. Within each sector, firms are sorted in descending order by profit margin. At times, the oil companies have had record profits, but nobody discusses their record expenses as well. The firms with bigger margins can afford to cut you a deal; the smaller margins are desperate for your business.