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The Value Proposition

In: Organizing for Sustainability

Author

Listed:
  • Jan Jonker

    (JAB MC BV)

  • Niels Faber

    (University of Groningen)

Abstract

A business model is a description of how value creation is organized, underpinned by a value proposition. Such a proposition solves a problem or appeals to new, often yet undiscovered needs. Value creation has several facets. This building block offers a framework of five positions of value creation from which to choose and links it to strategies you can use. This in turn is then linked to the possibility of creating change with your business model-to-be. The more precisely you align the nature of those values and the change you would like to create, the better you will be able to design an appropriate (organizational) logic at a later stage. Formulating a clear and compelling value proposition is crucial in the development of a business model. It gives direction to the strategy, to the stakeholders with whom you could take these steps, and to what impact you expect to realize.

Suggested Citation

  • Jan Jonker & Niels Faber, 2021. "The Value Proposition," Springer Books, in: Organizing for Sustainability, chapter 5, pages 57-71, Springer.
    • Handle: RePEc:spr:sprchp:978-3-030-78157-6_5
    DOI: 10.1007/978-3-030-78157-6_5
    as

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