Value proposition

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See also: Customer value proposition
See also: Employee value proposition
A value proposition is an analysis and quantified revie of the !enefits, costs and value
that an organi"ation can deliver to customers and other constituent groups ithin and
outside of the organi"ation# $t is also a positioning of value, here %alue & 'enefits (
Cost )cost includes risk*
+,-
#
.he creation of the value proposition is a ork of strategy
+/-
and the outputs of the value
proposition creation process, ie# the value proposition statement and template, are not
themselves communicated e0ternally
+1-
# 2ather, it is the messages created out of the value
proposition statement that are communicated e0ternally# .hese can !e used in a variety of
ays such as in marketing communications material or in sales proposals
+3-
#
%alue propositions can !e used to position value to a range of constituents such as:
Customers 4 to e0plain hy a customer should !uy from a supplier )see customer
value proposition*#
5artners ( for the purposes of strategic alliances or 6oint ventures#
$nternal departments 4 for e0ample here an $#.# department is creating an
internal !usiness case to present to the !oard for funding#
Employees 4 for recruiting ne people or for retaining and motivating e0isting
employees# .his is sometimes called the 7#2# )7uman 2esources* or employee
value proposition#
Suppliers 4 to e0plain hy a supplier should ant to !e a supplier to an
organisation or customer#
[edit] References
,# ^ 'arnes, Cindy8 'lake, 7elen8 5inder, 9avid# Creating and 9elivering :our %alue 5roposition:
;anaging Customer E0perience for 5rofit, <ogan 5age, /==># $S'? >@A(=(@3>3(BB,/(B
/# ^ <aplan, 2o!ert8 ?orton, 9avid# Strategy ;aps, 7'S 5ress, /==3# $S'? ,(B>,1>(,13(/
1# ^ Canning, ;ichael# 9elivering 5rofita!le %alue, 'asic 'ooks, ,>>A# $S'? =(@1A/(=,D/(D
3# ^ Anderson, James8 <umar, ?irmalya8 ?arus, James# %alue ;erchants, 7arvard 'usiness School
5ress, /==@# $S'? ,(3//,(=11B(A
2etrieved from Ehttp:FFen#ikipedia#orgFikiF%alueGpropositionE
Categories: ;arketing H Strategic management H 'usiness terms H ;anagement
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