Value creation architecture and engineering

Abstract

Purpose – The purpose of this paper is to develop a conceptual framework for a value creation business (VCB) model. It seeks to unlock two essential research questions: “what constitutes value”, and “how do firms create value for customers?” in the context of the firm‐customer dyad.Design/methodology/approach – The paper is conceptual and is premised on a review of the extant literature on value and value creation. It addresses the limitations pertaining to the dominance of the value‐in‐use perspective. It also addresses the call for a paradigm shift toward customer‐centric marketing and operant resource‐based dominant logic. Building on the review, the paper identifies essential components of value in value creation processes.Findings – The VCB model is developed by integrating three perspectives of value including creating value for customers, value‐in‐offering, and value‐in‐use, capturing a contingency approach to theory building. The model enlightens how value creation architecture (the strategic spac...