ARE SOUTH AFRICAN CO-OPERATIVES CREATING VALUE

This article examines the use of Economic Value Added (EVA) as a performance measure that South African wine co-operatives can use to determine whether value has been created for members. A detailed explanation of EVA is given, and the components of EVA are calculated. The EVA's of a number of co-operatives have been calculated and analysed. In addition the EVA of specific types of co-operatives indicate that the fruit and vegetable sector is a constant value creator. It is clear that in order to create value, the rate of return on invested capital must be greater than the cost of capital. Certain co-operatives and types of co-operatives provided the blue print for this.


Subject(s):
Issue Date:
2003
Publication Type:
Working or Discussion Paper
DOI and Other Identifiers:
Record Identifier:
https://ageconsearch.umn.edu/record/18058
PURL Identifier:
http://purl.umn.edu/18058
Total Pages:
32
Series Statement:
Working Paper 2003-04




 Record created 2017-04-01, last modified 2019-08-26

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