Real net output ratio

The Real Net Output Ratio (or Vertical Range of Manufacture) describes in a

internal production plus the sum of externally produced goods and services

$\textstyle Real\,Net\,Output\,Ratio={\frac {internal\,production}{total\,production\,value}}={\frac {internal\,production}{internal\,production\,+\,externally\,produced\,goods\,+\,externally\,produced\,services}}$

A Real Net Output Ratio of 0% relates to a company that does not have its own production and therefore only does trading.

This economics-related article is a stub. You can help Wikipedia by expanding it.