Definition

VAR (value-added reseller)

In the computer and other industries, a VAR (value-added reseller) is a company that takes an existing product, adds its own "value" usually in the form of a specific application for the product (for example, a special computer application), and resells it as a new product or "package." For example, a VAR might take an operating system such as IBM's OS/390 with UNIX services and, adding its own proprietary UNIX application designed for architects, resell the package to architectural firms. Depending on sales and installation requirements, the VAR could choose whether or not to identify OS/390 as part of the package.

Also see OEM (original equipment manufacturer), a company that includes hardware components from other companies in its own product.

This was last updated in July 2007
Posted by: Margaret Rouse

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