Here’s an example breakdown of chocolate production costs
Raw material : 5.16
Factory expenses (including depreciation and salaries) : 2.35
Office and Administration : 4.40
Selling and Distribution : 2.00
Total Cost (including stuff I left out) : 16.00
Since it’s sold for 20.00, the net profit is 20%.
So the next question is how you want to define “waste”. Of the total cost of the chocolate, only about 25% of it is raw material. A huge part of the cost is salaries, advertising, and rent. That’s partly just people pushing chocolate around and trying to sell it. I call that “wasteful” (shrug).
But if you mean how much of the raw materials are wasted, the raw materials only comprise 25% of the cost. And some of those materials, such as sugar, are commodities where waste is low because it’s mass produced. So the cocoa could be pretty wasteful, and still not be a significant part of the overall cost.
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