Value Added

Value added is the risk adjusted return generated by an investment strategy: the return of the investment strategy minus the return of the benchmark.

Value Added

The increase to the value of a product at each stage in a production cycle or supply chain. For example, a timber company cuts down trees, which adds value to the wood because it can then be used. It may then sell the timber to a miller, who adds value by refining the timber into planks of wood. A carpenter who buys the planks adds value by making them into a table, which can then be sold to a customer. The concept of value added is most important in countries and other jurisdictions that have a value-added tax.

value added

the difference between the value of a firm's (or industry's) output (i.e. the total revenues received from selling that output) and the cost of the input materials, components or services bought in to produce that output. Value added focuses attention on the value that a company adds to its bought-in materials and services through its own production and marketing efforts within the company.

A firm will measure its value added as the difference between its SALES REVENUE and the COST of its bought-in materials and services. Where a firm operates at only one level of production or distribution in a VALUE-ADDED CHAIN, it will generally add less value than a vertically integrated firm which embraces several production and distribution stages. See VALUE CREATED MODEL, CONSUMER SURPLUS, VERTICAL INTEGRATION, VALUE-ADDED TAX, VALUE-ADDED STATEMENT, VALUE ADDED PER EMPLOYEE, PROFIT AND LOSS ACCOUNT, ECONOMIC VALUE ADDED.

value added

the difference between the value of a firm's (or industry‘s) output (i.e. the total revenues received from selling that output) and the cost of the inputs of raw materials, components or services bought in to produce that output. ‘Value added’ is the value that a firm adds to its bought-in materials and services through its own production and marketing efforts within the firm. See VALUE-ADDED TAX, VALUE-CREATED MODEL.

Collins Dictionary of Economics, 4th ed. © C. Pass, B. Lowes, L. Davies 2005

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References in periodicals archive

Wiseguyreports.Com Publish New Market Research Report On -"Mobile Value-added Services Market 2019 Global Analysis, Size, Share, Trends, Opportunities and Growth, Forecast 2023"

Mobile Value-added Services Market 2019 Global Trends, Market Share, Industry Size, Growth, Opportunities and Forecast to 2023

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Value-added sector for abolishing duties, taxes on cotton yarn import

The post Strategic alliances: Regional Value-Added Resellers appeared first on Tahawul Tech.

Strategic alliances: Regional Value-Added Resellers

Interaction with different textile stakeholders revealed that the package was a maneuverer by the lowest value-added basic textile sector.

Tough times in textile sector hurting exports

Pakistan's textile exports primarily consist of low or intermediate value-added products (at 69 percent of Pakistan's textile exports, compared to 32 percent of global textile exports in 2012).

VALUE ADDITION CAN GIVE BOOST TO TEXTILE EXPORTS

Traditionally, value-added agriculture was associated with the processing of raw products (Coltrain, Barton, and Boland, 2000; Amanor-Boadu, 2003).

What do we mean by value-added agriculture?

(IRI), value-added meat is an "untold growth story in the meat case." IRI's data show that dollar sales of value-added meat have grown faster than all other meat in the last five years.

A Valuable Category

The authors assert that, instead of allocating the full value of a finished product to the country from which it was delivered, trade data should allocate the value on a value-added basis; that is, the final value should be divided into its various parts, each one representing "the amount by which the value of a good or service increases at a specific step in a production process." Sposi and Koech concede that tracking the value added by each country involved in the production of a good is certainly difficult if not impossible.

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Fresh-cut Fever

Unfortunately, the same study also finds that minority and low-income students in California are not only less likely to have high value-added teachers, they're also more likely to have low value-added teachers.

Influence in the classroom