Download or read book Toward a Dynamic Notion of Value Creation and Appropriation in Firms written by Marvin B. Lieberman and published by . This book was released on 2015 with total page 68 pages. Available in PDF, EPUB and Kindle. Book excerpt: The notion of “value creation” is central to strategy, but its exact meaning is often unclear. Confusion arises because value creation can be reasonably defined in two different ways: (1) as the total economic value created by a firm within a specific interval of time, and (2) as the change in this value over longer intervals. To formalize the latter notion of value creation, we introduce the concept of economic gain, defined as the increase in economic surplus generated by the firm between one time period and another. We discuss the advantages of this concept and show that economic gain can arise through innovation and improvement or through the growth and replication of a superior firm. We complement these discussions with a formal measurement framework that quantifies economic gain from innovation and its distribution among stakeholders, including the firm's shareholders, managers, employees, suppliers, and customers. As an empirical illustration, we apply the framework to compare value creation and distribution by Southwest Airlines and American Airlines between 1980 and 2010.
Download or read book Value Creation and Appropriation of Firms written by Fatai A. Atanda and published by . This book was released on 2015 with total page 11 pages. Available in PDF, EPUB and Kindle. Book excerpt: The issue of corporate performance had been vigorously addressed in the literature using traditional accounting metrics. However, contemporary studies now focus on corporate sustainability in terms of value creation and how constituents of a firm are compensated for their efforts at generating the value. The current research challenge is therefore on how to appropriately define and measure firm value, bearing in mind several stakeholders that have diverse and often conflicting interests in a firm. This paper fills this gap by using stakeholder perspective to explain the concept of value creation and by providing theoretical framework and methodology for measuring the value created and appropriated by a firm. It is established that value creation can be measured using (1) the difference between output value and inputs value, (2) the sum of the economic rewards given to stakeholders and 3) the true cash flows generated by a firm. The paper concludes that since the traditional accounting metrics have some limitations and since investors do not value accounting earnings but cash that is truly generated from a firm' operations, a quantity that denotes value to diverse stakeholders of a firm should be used to measure firm value.
Download or read book Value Creation and Appropriation in Firms written by Marvin B. Lieberman and published by . This book was released on 2014 with total page 37 pages. Available in PDF, EPUB and Kindle. Book excerpt: The notion of value creation by firms is central to strategy. Despite its importance, value creation has been defined in many different ways, often with a narrow focus on shareholders, which can lead to confusion about the notion. In this paper, we clarify some commonly used concepts of value creation. We then discuss one particular concept: economic gain, or the change in economic value created from one period to the next. We elaborate on how such value is created by the firm and distributed among a set of stakeholders, including shareholders, managers, employees, suppliers and customers. We conclude by introducing a method for quantifying this gain and its distribution among stakeholders of the firm.
Download or read book Digitalization and Firm Performance written by Milena Ratajczak-Mrozek and published by Springer Nature. This book was released on 2021-12-02 with total page 327 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book explores how digitalization and digital technologies influence markets, firms, financial institutions and organizations. Drawing on examples from Canada, Poland, France, Albania, Africa and Turkey this book takes a truly international perspective. It explores the technical aspects of digitalization, with chapters examining topics like how digitization creates value in a small company, how digital-driven business drives innovation, how import-exporting firms can increase productivity within the digital economy and how financial systems and institutions evolve due to new technologies. However, the book goes beyond this and, by adopting a holistic view, examines the social impact of digitalization, with the authors discussing how trade unions and employers present Industry 4.0 to employees and the general public. This book will be of interest to anyone studying digital innovation, digital management, digital strategy, Fin Tech, firm management, and Industry 4.0. Chapter 1 is available open access under a Creative Commons Attribution 4.0 International License via link.springer.com.
Download or read book Measuring Value Creation and Appropriation in Firms written by Roberto Garcia-Castro and published by . This book was released on 2014 with total page 37 pages. Available in PDF, EPUB and Kindle. Book excerpt: In related work we introduce the VCA model to estimate the economic value created by a firm and appropriated by its stakeholders, including employees, shareholders, suppliers and customers. This study provides two specific empirical applications. In the first, we use publicly available data from the US airline industry to illustrate how the basic VCA model can be applied and extended to include multiple stakeholder groups. In the second application, we provide estimates for three global automobile companies (GM, Toyota and Nissan), showing how the model can be reformulated using value added when data on suppliers are not available. In both industries we find substantial heterogeneity among firms in the creation and distribution of economic value.
Download or read book Essays on value creation and appropriation in human capital intensive firms written by Pranav Garg and published by . This book was released on 2012 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Routledge Companion to Coopetition Strategies written by Anne-Sophie Fernandez and published by Routledge. This book was released on 2018-10-10 with total page 564 pages. Available in PDF, EPUB and Kindle. Book excerpt: This reference volume is the first to provide a comprehensive international survey of co-opetition research. Organised thematically and written by the world's most cited researchers in the field, it views the topic through the lens of a variety of disciplines including innovation, strategic management, marketing and operations management. This reference book is the definitive resource for researchers looking to understand the field of co-opetition throughout business and management
Download or read book The Multinational Corporation in the 1980s written by Charles P. Kindleberger and published by Mit Press. This book was released on 1986 with total page 384 pages. Available in PDF, EPUB and Kindle. Book excerpt: This collection of essays addresses the vital question of how much the theory of direct foreign investment - developed a decade ago before many drastic changes took place on the international economic scene - still holds. Grouped in five major sections, they cover The Theory of Direct Foreign Investment; Industrial Organization and International Markets; Country Studies; International Finance; and Implications for the United States.Charles P. Kindleberger is Ford International Professor of Economics, Emeritus, at MIT. David B. Audretsch is Assistant Professor of Economics at Middlebury College.
Download or read book The History Of Marketing Science written by Russell S Winer and published by World Scientific. This book was released on 2014-06-27 with total page 529 pages. Available in PDF, EPUB and Kindle. Book excerpt: The field of marketing science has a rich history of modeling marketing phenomena using the disciplines of economics, statistics, operations research, and other related fields. Since it is roughly 50 years from its origins, The History of Marketing Science is a timely review of the accomplishments of marketing scientists in a number of research areas.Different research areas of marketing science, such as Pricing, Internet Marketing, Diffusion Models, and Advertising, are treated to a highly readable and easy-to-digest historical analysis by the contributing authors. Each chapter provides a chronological timeline of key historical developments in the area of marketing science covered. Readers of other disciplinary backgrounds outside of economics, statistics, and operations research will be more than able to appreciate the development of marketing science as a field of research and its pioneers through the book.
Download or read book The Development of the Resource Based Firm Between Value Appropriation and Value Creation written by Arabella Mocciaro and published by . This book was released on 2005 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: Various authors have brought forth the idea that the increase in context turbulence and the relentless change in today's economic and competitive environments have rendered it essential for an effective firm strategy to combine both value appropriation and value creation (Porter, 1996; Moran and Ghoshal, 1999; Venkataraman and Sarasvathy, 2001; Hitt et al., 2001b). Nonetheless, the methodological bases and the assumptions that characterize contributions concerning value appropriation and value creation are notably different and in many respects opposite to one another. These profound methodological differences hinder the possibility of a combined consideration of value appropriation and value creation issues within a coherent interpretative framework. By reinterpreting more conventional strategy studies in the light of the Austrian process view, this article builds a process framework which is able to consider and render mutually compatible both value appropriation and value creation within the unitary process of firm development. In addition, the use of the Austrian approach as an interpretative lens enables an evolution and extension of the resource-based theory that consents it, not only to grasp the mechanisms behind value appropriation, but also to suggest new ways of viewing post-industrial firm behavior that help to interpret its dynamic and proactive role in the value creation process.
Download or read book The Theory of Entrepreneurship written by Chandra S. Mishra and published by Springer. This book was released on 2014-12-04 with total page 520 pages. Available in PDF, EPUB and Kindle. Book excerpt: The Theory of Entrepreneurship examines the interiors of the entrepreneurial value creation process, and offers a new unified and comprehensive theory to afford empirical investigations as well as delineate a broader view of the entrepreneurial contextual milieu.
Download or read book Theory of the Firm for Strategic Management written by Manuel Becerra and published by Cambridge University Press. This book was released on 2009-02-05 with total page 310 pages. Available in PDF, EPUB and Kindle. Book excerpt: Develops a value-based theory of the firm specifically aimed at strategic decision-making.
Download or read book Benefiting from Innovation written by Michael G. Jacobides and published by . This book was released on 2015 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: Extending Teece's landmark 1986 article, we consider how innovators benefit from value appropriation and creation. We elaborate on value appropriation, first by pointing out the importance of "industry architectures", i.e. sector-wide templates that circumscribe the division of labor; and second, by treating complementarity and factor mobility as distinctive components of cospecialization. This allows us to qualify Teece's prediction, by positing that firms can create an "architectural advantage" in terms of high levels of value appropriation without the need to engage in vertical integration. Such architectural advantage comes about when firms can enhance both complementarity and mobility in parts of the value chain where they are not active. We then elaborate on value creation by indicating how actors can benefit from investing in assets that appreciate because of innovation, which suggests that firms can benefit from encouraging imitation while investing in complementary assets. We also consider how investment in complementary assets changes the scope of the firm and thereby the development of capabilities that support future innovation. Finally, we provide an integrative guide that explains how firms should manage their position along the value chain to capture returns from innovation, thus extending and qualifying Teece's (1986) original predictions and prescriptions.
Download or read book Collaborating and Competing written by Federico Aime and published by . This book was released on 2007 with total page 194 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Business Model Innovation Strategy written by Raphael Amit and published by John Wiley & Sons. This book was released on 2020-09-01 with total page 400 pages. Available in PDF, EPUB and Kindle. Book excerpt: The most comprehensive, global guide to business model design and innovation for academic and business audiences. Business Model Innovation Strategy: Transformational Concepts and Tools for Entrepreneurial Leaders is centered on a timely, mission-critical strategic issue that both founders of new firms and senior managers of incumbent firms globally need to address as they reimagine their firms in the post COVID-19 world. The book, which draws on over 20 years of the authors collaborative theoretical and rigorous empirical research, has a pragmatic orientation and is filled with examples and illustrations from around the world. This action-oriented book provides leaders with a rigorous and detailed guide to the design and implementation of innovative, and scalable business models for their companies. Faculty and students can use Business Model Innovation Strategy as a textbook in undergraduate, MBA, and EMBA degree courses as well as in executive courses of various designs and lengths. The content of the book has been tested in both degree and non-degree courses at some of the world's leading business schools and has helped students and firm leaders to develop ground-breaking business model innovations. This book will help you: Learn the basics of business model innovation ̄including the latest developments in the field Learn how business model innovation presents new and profitable business opportunities in industries that were considered all but immune to attacks from newcomers Learn how to determine the viability of your current business model Explore new possibilities for value creation by redesigning your firm's business model Receive practical, step-by-step guidance on how to introduce business model innovation in your own company Become well-versed in an important area of business strategy and entrepreneurship Authors Amit and Zott anchored the book on their pioneering research and extensive scholarly and practitioner-oriented publications on the design, implementation, and performance implications of innovative business models. They are the most widely cited researchers in the field of business model innovation, and they teach at the top-ranked Wharton School of the University of Pennsylvania and the prestigious global business school IESE with campuses in Barcelona, Madrid, Munich, New York, and São Paulo.
Download or read book Value Appropriation Within a Business Network written by Chris Ellegaard and published by . This book was released on 2009 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper explores the interplay between value creation and appropriation of value by firms within a business network context. These two value processes are inter-linked. Collectively firms create a product of value to an end consumer and a part of that value is appropriated by each firm in the network. Value appropriation is composed of a number of different negotiation processes, value and cost moving between exchange parties and price making and taking spread across time. Value appropriation is a process. Value appropriation is important to a firm's survival. Firms that appropriate a greater proportion of the value captured by the network, relative to their resource base and costs, will be more profitable. These firms are able to invest in new technologies, resources and business relationships to continually develop their network positions. Value creation in a business network is a result of individual firm efforts, either independently or in relationships. Equally, firms work alone and in groups to appropriate value. Understanding the dynamics and linkages between value creation and appropriation allows a better understanding of how value is created by business firms and by value nets. In the final sections of the paper we present propositions for further research and make recommendations for managers.
Download or read book Water Stewardship and Business Value written by William Sarni and published by Routledge. This book was released on 2018-04-09 with total page 106 pages. Available in PDF, EPUB and Kindle. Book excerpt: The tangible value of increased water efficiency, reuse and recycling and improved social license to operate are moving more companies to adopt water stewardship strategies. This book frames an expanded strategy for water stewardship and business value creation, including brand value, that benefits a range of stakeholders including consumers, customers, investors and employees. The book shows that until recently the linkage between full business value and water stewardship has been missing from the corporate agenda. This linkage and value creation from a leading water strategy is increasingly important to socially responsible investors and "aspirationals" who value companies that have a social mission or focus to their overall business strategy. In general the largest portion of a company’s market capitalization is intangible value and understanding how a water strategy contributes to this intangible value is essential. The authors include cases studies and a framework or path forward to guide companies as they seek to build leading water strategy that goes beyond water stewardship to drive full business value from this investment. The book establishes the linkages and value from an integrated water and business strategy and an approach for companies to follow.
