How important is break-even analysis to a firm?

Breakeven analysis has very much significant for management as it helps the management to identify how much units of products must be produce and sale to at least cover the fixed cost and start earning some profit.

If breakeven analysis is not done before production they will unable to realize that how much number of units required to produce and in the end they may have to realize that after so much effort to produce and sale of product, they are still behind to fully recover their fixed cost or required profit level.