When evaluating a deal in business development, there are three factors that are essential: potential return on investment, level of risk, and fit with the company's strategy. First, businesses need to consider how much potential return they could see from the deal. If the return is too low, it might not be worth pursuing. Second, businesses need to evaluate the level of risk involved in the deal. Pursuing a high-risk deal could lead to big rewards, but it could also lead to catastrophic failure. Finally, businesses need to make sure that the deal fits with their overall strategy. A deal that doesn't align with a company's strategic goals is likely to be a bad investment in the long run. By carefully evaluating these three factors, businesses can make sound decisions about which deals are worth pursuing.