Strategic Management: A Competitive Advantage Approach, Concepts and Cases, 16/e
by Fred R. David, Forest R. David
Segments
A common beverage industry term net producer revenue (NPR) is defined as “group revenue less excise duties and other similar taxes including our share of associates’ and joint ventures’ excise duties and other similar taxes.” SABMiller reports that its NPR growth in Latin America was 5 percent in fiscal 2014; however, taking into account exchange rates, the total reported NPR declined 1 percent, due to a strong U.S. dollar appreciation on many currencies worldwide, including Latin American currencies. However, the firm’s lower production costs and fixed costs improved fiscal 2014 profitability. Soft drinks now make up 20.6 percent of SABMiller’s total sales by volume, compared with 17.2 percent in 2009. Sales of soft drinks rose 5 percent ...
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