Arvolisäys

Arvolisäys, often translated as value-added, refers to the increase in the worth or price of a product or service as a result of a particular process or activity. It is a fundamental concept in economics, particularly in production and commerce. In essence, it represents the difference between the selling price of a good or service and the cost of the inputs used to produce it. This difference is what a business owner or firm retains to cover their operating expenses, such as labor, capital, and overhead, and to generate profit.

The concept is widely used in national accounting to measure economic activity. Gross Domestic Product (GDP), for instance, can be calculated as the sum of value-added by all industries within a country. This method avoids double-counting intermediate goods that are used up in the production process. For example, if a baker buys flour for 1 euro and sells bread for 3 euros, the value-added by the baker is 2 euros. This 2 euros contributes to the GDP.

Arvolisäys can be achieved through various means, including manufacturing, processing, marketing, distribution, and providing specialized services. Companies strive to maximize their value-added by improving efficiency, innovation, and customer service, thereby increasing the perceived or actual worth of their offerings in the market. Understanding and measuring value-added is crucial for analyzing a firm's profitability and a nation's economic performance.