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Value-based Business Strategy (1996)

Brandenburger, Adam M. ; Stuart, Harborne W.

Oxford, UK : Blackwell Publishing Ltd

Journal of economics & management strategy 5 (1996), S. 0

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ISSN: 1530-9134

Source: Blackwell Publishing Journal Backfiles 1879-2005

Topics: Economics

Notes: This paper offers an exact definition of the value created by firms together with their suppliers and buyers. The “added value” of a firm is similarly defined, and shown under certain conditions to impose an upper bound on how much value the firm can capture. The key to a firm's achieving a positive added value is the existence of asymmetries between the firm and other firms. The paper identifies four routes (“value-based” strategies) that lead to the creation of such asymmetries. Our analysis reveals the equal importance of a firm's supplier and buyer relations. Cooperative game theory provides the underpinnings of the analysis.

Type of Medium: Electronic Resource

URL: http://dx.doi.org/10.1111/j.1430-9134.1996.00005.x

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