Sales vs expense reduction

The best answer is not either or, but both, and. Successful managers somehow manage to do both.

But, sales dollars don't drop to the bottom line; they're deluted by the cost of producing and delivering what was sold and operating expenses. While any expense you cut does drop to the bottom line, and therefore, has a direct and dollar for dollar impact on profits.

Increasings sales improves profits only by the increased contribution to gross profit dollars. Gross profit dollars are calculated by subtracting variable costs of goods sold from sales revenue.