CUSTOMER VALUE PROPOSITIONS IN THE CONTEXT OF TECHNOLOGY COMMERCIALIZATION

2010 ◽  
Vol 14 (06) ◽  
pp. 1099-1127 ◽  
Author(s):  
MARC WOUTERS
Keyword(s):  
Real Options ◽  
Customer Value ◽  
Large Scale ◽  
Empirical Support ◽  
Technology Commercialization ◽  
Future Research ◽  
High Tech ◽  
Entrepreneurial Firms ◽  
Considerable Uncertainty ◽  
Value Propositions

Many larger, technology incumbent companies involve smaller, high-tech entrepreneurial firms in their innovation processes by outsourcing the development of new products, services, and processes. These R&D firms face the challenge of profitable technology commercialization. In this context, we study the use of customer value propositions and agreements based on these. The problem is that it is not clear how such propositions can be structured under considerable uncertainty. Real options logic seems to lend itself, in principle, to structuring value propositions. However, recent studies have discussed the organizational challenges of applying real options. Hence, we specifically investigate under what conditions real options logic can be an adequate base for the development of the value proposition of a small high-tech entrepreneurial supplier cooperating with a large-scale incumbent firm to develop new technology. We provide empirical support based on two case studies. Ideas for future research conclude this paper.

scholarly journals Competitive Advantages and Values Created and Attained Out of Well-Crafted Customer Value Propositions

2021 ◽  
Vol 16 (2) ◽  
pp. 53-73
Author(s):  
Jeffrey Yi-Lin Forrest ◽  
Dmitry A. Novikov ◽  
Stephen Larson ◽  
Fen Wang ◽  
Jing Yang
Keyword(s):  
Customer Value ◽  
Market Competition ◽  
Value Added ◽  
Future Research ◽  
Competitive Advantages ◽  
Analytical Reasoning ◽  
Potential Market ◽  
Value Propositions ◽  
Game Theoretic ◽  
Generally True

Abstract To help facilitate the development of a theoretically rigorous and practically useful theory of customer value propositions (CVP), as called for repeatedly by the extant literature, this paper establishes a game-theoretic theorem regarding the dynamics of market competition and potential market entry. On top of this result and by employing logical rigor and analytical reasoning, eight generally true facts are developed without suffering from the constraints of data- and anecdote- based approaches, as widely used in the literature. In particular, these established results reveal how a newly adopted CVP is associated with the three essential processes underlying a company’s operation, how it will be pivotal for the company to attain competitive advantages, how the value added by adopted CVPs can be determined, etc. At the end, recommendations for decision-making managers and entrepreneurs and potential questions for future research are provided.

scholarly journals Working for an entrepreneur: heaven or hell?

2019 ◽  
Author(s):  
Kristina Nyström
Keyword(s):  
Career Paths ◽  
Labor Mobility ◽  
Survival Rates ◽  
Future Research ◽  
Entrepreneurial Firms ◽  
Considerable Uncertainty ◽  
Entrepreneurial Firm ◽  
Dynamic Perspective ◽  
Pros And Cons

Abstract Recruiting employees to an entrepreneurial venture is a challenging task. From the employee’s perspective, accepting a position in an entrepreneurial venture potentially implies considerable uncertainty. This paper provide a literature review and identifies research gaps related to labor mobility of employees into and out of entrepreneurial firms. Who works for an entrepreneur? What are the conditions under which the employees of entrepreneurial firms work? Additionally, labor mobility after an employee works for an entrepreneurial firm is discussed. In conclusion, the quality of the jobs generated by entrepreneurial firms may be questionable (and still relatively unexplored in empirical research), but they are nevertheless important from a labor dynamic perspective. Better understanding about motives to work for an entrepreneur, issues related to job security beyond survival rates, and job quality may contribute to ease the recruitment problems that many entrepreneurial firms struggle with. Furthermore, the relevance and potential pros and cons of working for an entrepreneurial firm in future career paths (entrepreneur or employee) need to be carefully addressed in future research.

SRI’s turnaround: how four principles guided high-value, market-creating innovation

2017 ◽  
Vol 45 (4) ◽  
pp. 3-8
Author(s):  
Steve Denning
Keyword(s):  
Business Model ◽  
Customer Value ◽  
Large Scale ◽  
Leadership Strategies ◽  
Content Type ◽  
Value Propositions ◽  
On Line ◽  
Market Needs ◽  
Working Hypotheses ◽  
Practical Implications

Purpose The article explores the leadership strategies of a CEO who defied the odds against culture change and accomplished a storied turnaround, Curt Carlson who introduced a culture of innovation at SRI International. Design/methodology/approach Under Carlson’s leadership, SRI developed a methodology for rapid, large-scale, serial innovation, starting with a focus on important customer and market needs. The innovation proposals had to develop compelling hypotheses for both the product offering and the business model. Findings Need, Approach, Benefits per costs and Competition (NABC). the methodology Carlson and his team developed, contains the fundamental framework for creating customer value, it applies to the entire enterprise. It brings all functions together using a short, easy to remember meme that starts every conversation with a focus on customer need. Practical implications One of the most spectacular and best-known SRI innovation wins was Siri, the intelligent personal computer assistant and on-line knowledge navigator, an integral part of the iPhone. As a case example, Siri illustrates the power of the NABC approach. Originality/value Carlson stresses that the key element in SRI’s success with Siri was not just the technology. It was getting the entire value proposition right. “One of the things that changed at SRI was the realization that we needed to have really solid working hypotheses, both for the product and the business model, before we started spending significant money on technology. That’s one of the biggest mistakes firms make. They rush ahead and want to build the product before they de-risk their value propositions.

The impact of director’s heterogeneity on IPO underpricing

2017 ◽  
Vol 11 (2) ◽  
pp. 230-247 ◽  
Author(s):  
Zhi-Jian Xu ◽  
Li Wang ◽  
Jing Long
Keyword(s):  
Research Design ◽  
Negative Correlation ◽  
Empirical Support ◽  
Significant Negative Correlation ◽  
Educational Background ◽  
Future Research ◽  
Entrepreneurial Firms ◽  
Ipo Underpricing ◽  
Content Type ◽  
The Impact

Purpose The purpose of this paper is to investigate whether the Boardroom heterogeneity affects IPO underpricing for entrepreneurial firms, where Boardroom heterogeneity was classified in terms of functional background, educational background, age and length of tenure. Design/methodology/approach A national research design was conducted using data collected from 355 firms listed on China’s Growth Enterprise Market from its start in 2009 to 2012. Findings The author found that IPO underpricing has a significant negative correlation with functional heterogeneity, a positive correlation with educational heterogeneity, a significant negative correlation with age heterogeneity, but it does not show significant correlation with heterogeneity in tenure. Board heterogeneity affects IPO underpricing of entrepreneurial firms partially, which means functional, educational and age heterogeneity conveys signals to potential investors regarding a firm’s quality. Research/limitations/implications More entrepreneurial firms in more years for data and long-term performance research design in future research would be required for further understanding of the relationships among the variables in this study. Practical/implications This paper suggests that IPO firms may make use of such an influencing mechanism to determine the issue price or to control the IPO underpricing by showing the Boardroom heterogeneity. Originality/value This paper revealed the influence of the characteristics of board members of such firms on IPO underpricing, which is rare in recent studies comparing to the study for the top management team; also this study provides empirical support for such effect.

scholarly journals AR/Urban: Exploring Augmented Reality for Participatory Urban Design

2021 ◽  
Author(s):  
David Silcock
Keyword(s):  
Augmented Reality ◽  
Urban Design ◽  
Design Process ◽  
Interaction Design ◽  
Large Scale ◽  
Smartphone Application ◽  
Future Research ◽  
High Tech ◽  
Tangible User Interfaces ◽  
Lay People

<p><b>CAAD research has frequently investigated the realm of public participation in large scale urban design re-development. Cultural shifts have created a need to involve the end-users in these activities. CAAD has been quick and plentiful to offer solutions, yet, the recurring problem lies with the lay-person not being able to interpret information effectively and be able to take part in the process of design proactively. To date, much-existing research predominantly focuses on the development of designs in urban settings using high tech devices that fundamentally require a high level of expertise, or an experienced 'guide', to help navigate or create within these environments.</b></p> <p>This thesis presents a novel application based on real-time-virtual-engines and XR. The research discusses the role that tangible user interfaces (TUI) can play in the engagement of the lay-person in the design process. In this project, we describe how the integration of interaction design (IxD) and augmented reality (AR) offer new opportunities due to the extending web of availability of barrier-free technologies to better include lay-persons as active participants in the design process.</p> <p>The AR-markers developed within this project provide an intuitive method of addressing specific issues relating to the engagement of lay-people in the process of urban design. E.g. the appropriate positioning of a house on a section of land and the understanding of translation from 2D to 3D representation. These obstacles are managed through interaction and manipulation of image-based targets encoded with ‘Vuforia’s’ ‘virtual buttons’ functionality. This method gives the lay-person the ability to cycle through different parametric design options with a degree of computational fluency not typical of the lay-person. A first-person viewer is encouraged in unison with this interaction, providing a means to shift from organising space in a ‘bird-eye’ view to experiencing it from a more familiar street-view perspective.</p> <p>In the early phases of this project, the focus was placed on establishing tools for layperson engagement in the process of urban design. The first iteration of the tool focused on a broadly scoped parametric augmented reality workflow, where the focus is placed on the transfer of information from an interactive parametric program to an AR environment. The second iteration saw this workflow simplified, utilising a smartphone application that allowed the easy transfer of data between these two platforms. A refinement of scope then occurred, followed by the final version of the tool which focussed purely on the development of an AR environment that allowed for accessible and proactive layperson participation. The later stages of this project involved more in-depth exploration of the capabilities of the tool, the testing of it in a more refined context, and critical reflection on the effectiveness of each passing phase. The project concludes with an overall critique and evaluation of the developed method based on criteria outlined in similar research projects, and a framework for future research to aid in the engagement of lay-people in urban design through participatory AR.</p>

scholarly journals AR/Urban: Exploring Augmented Reality for Participatory Urban Design

2021 ◽  
Author(s):  
David Silcock
Keyword(s):  
Augmented Reality ◽  
Urban Design ◽  
Design Process ◽  
Interaction Design ◽  
Large Scale ◽  
Smartphone Application ◽  
Future Research ◽  
High Tech ◽  
Tangible User Interfaces ◽  
Lay People

<p><b>CAAD research has frequently investigated the realm of public participation in large scale urban design re-development. Cultural shifts have created a need to involve the end-users in these activities. CAAD has been quick and plentiful to offer solutions, yet, the recurring problem lies with the lay-person not being able to interpret information effectively and be able to take part in the process of design proactively. To date, much-existing research predominantly focuses on the development of designs in urban settings using high tech devices that fundamentally require a high level of expertise, or an experienced 'guide', to help navigate or create within these environments.</b></p> <p>This thesis presents a novel application based on real-time-virtual-engines and XR. The research discusses the role that tangible user interfaces (TUI) can play in the engagement of the lay-person in the design process. In this project, we describe how the integration of interaction design (IxD) and augmented reality (AR) offer new opportunities due to the extending web of availability of barrier-free technologies to better include lay-persons as active participants in the design process.</p> <p>The AR-markers developed within this project provide an intuitive method of addressing specific issues relating to the engagement of lay-people in the process of urban design. E.g. the appropriate positioning of a house on a section of land and the understanding of translation from 2D to 3D representation. These obstacles are managed through interaction and manipulation of image-based targets encoded with ‘Vuforia’s’ ‘virtual buttons’ functionality. This method gives the lay-person the ability to cycle through different parametric design options with a degree of computational fluency not typical of the lay-person. A first-person viewer is encouraged in unison with this interaction, providing a means to shift from organising space in a ‘bird-eye’ view to experiencing it from a more familiar street-view perspective.</p> <p>In the early phases of this project, the focus was placed on establishing tools for layperson engagement in the process of urban design. The first iteration of the tool focused on a broadly scoped parametric augmented reality workflow, where the focus is placed on the transfer of information from an interactive parametric program to an AR environment. The second iteration saw this workflow simplified, utilising a smartphone application that allowed the easy transfer of data between these two platforms. A refinement of scope then occurred, followed by the final version of the tool which focussed purely on the development of an AR environment that allowed for accessible and proactive layperson participation. The later stages of this project involved more in-depth exploration of the capabilities of the tool, the testing of it in a more refined context, and critical reflection on the effectiveness of each passing phase. The project concludes with an overall critique and evaluation of the developed method based on criteria outlined in similar research projects, and a framework for future research to aid in the engagement of lay-people in urban design through participatory AR.</p>

scholarly journals Does communicating the customer’s resource integrating role improve or diminish value proposition effectiveness?

2017 ◽  
Vol 28 (4) ◽  
pp. 618-639 ◽  
Author(s):  
Sara Leroi-Werelds ◽  
Sandra Streukens ◽  
Yves Van Vaerenbergh ◽  
Christian Grönroos
Keyword(s):  
Resource Availability ◽  
Purchase Intention ◽  
Customer Value ◽  
Empirical Support ◽  
Direct Interaction ◽  
Role Clarity ◽  
Value Proposition ◽  
Content Type ◽  
Value Propositions

Purpose The purpose of this paper is to examine whether explicitly communicating the customer’s resource integrating role in value propositions improves or diminishes value proposition effectiveness. Design/methodology/approach Based on existing research on value propositions, three effectiveness criteria are used: role clarity, expected customer value, and purchase intention. Two experiments manipulating the presence of the customer’s resource integrating role in value propositions test the conceptual model in both an indirect interaction (Study 1, toothpaste, n=207) and a direct interaction context (Study 2, fitness program, n=228). Additionally, Study 2 includes the moderating role of resource availability. Findings Explicitly communicating the customer’s resource integrating role in value propositions increases customers’ role clarity, which in turn influences customer’s attitude toward the service and purchase intention through a service-related (i.e. expected benefits and expected efforts) and an ad-related (i.e. ad credibility and attitude toward the ad) route. However, these results only hold for customers high in resource availability. Originality/value This research provides initial empirical support for the often-stated claim that value propositions should include the (potential) value of the offering as well as the (resource integrating) role of the customer. Taking a broader perspective, this research provides initial empirical support for recent calls to develop marketing communication practices that facilitate value-in-use. This paper’s findings show that adopting service logic in marketing communications seems to improve value propositions’ effectiveness.

Sign in / Sign up

Export Citation Format

Share Document