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Adding value
 

Adding value

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An introduction to the concept of ass

An introduction to the concept of ass

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  • its really helpful
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  • this is my realm, adding value, thanks,
    my solution for recession is universalisation, means evaluate all assets of universe and then apply necessary sum of new currency (Zik=100$) to pay all debts and to buy off all taxes from national governments ....
    of course for this we need adequate entity, i see on horizon only myself as the secular and universal, legal and official The God, recognised by UN and with contracts with all national states governments,
    of course i invite you all to create a fresh new account at google, free, but with my data: universal identities names and universal residence, like this: Zababau Ganetros Cirimbo Ostangu zaqaqef@gmail.com ogiriny64256142, ( you can create this one but then inform me), access to account i have to have because this is divinating universalisation, but you can open it for all, i simply have to arrange it to adapt to paradigm, isn't it ......
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    Adding value Adding value Presentation Transcript

    • Adding Value
    • What is meant by “adding value”? Adding value = the difference between the price of the finished product/service and the cost of the inputs involved in making it
    • Example of value added calculation
      • Sales revenue
        • 1,000 units sold for £20 each = £20,000 revenue
      • Costs
        • To make 1,000 units
        • Raw materials - £7,500
        • Labour - £5,000
        • Other production costs - £2,500
        • Total costs = £15,000
      • Added value
        • £20,000 less £15,000 = £5,000
    • Example of value added
      • Tyrrells Potato Chips
        • Will Chase had been farming potatoes for 20 years (loss-making)
        • Wanted to produce something with more added value
        • Came up with idea to make hand-fried chips with distinctive flavours and packaging
        • Successfully created a premium product and turned Tyrrells into a profitable business
      • www.tyrrellspotatochips.co.uk
    • Ways to add value
      • Build a brand
      • Deliver great customer service
      • Add product features and benefits that customers want
      • Operate efficiently
      • Offer convenience and speed
      • Have a unique selling point (“USP”)
    • The Importance of a USP Something that sets a product apart from its competitors in the eyes of customers, both new and existing
    • Benefits of adding value
      • Charge a higher price
      • Create a point of difference with competitors
      • Protection against competitors offering lower prices
      • Focuses business on its target market segment
    • Signs that a small business is adding value
      • Strong gross profit margins
        • Gross profit / Total Sales
        • A strong signal
      • Repeat business
        • Sign of satisfied customers
        • Suggests customers feel they are getting value for money
      • Good brand or name recognition
        • Important for word-of-mouth recommendation
    • Keep up-to-date with business stories, resources, quizzes and worksheets for your business course. Click the logo!