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The service sector is a major segment of the economy and contributes to the gross national product in a significant manner. It complements the manufacturing sector as organizations become global in nature. Sources of raw material may be quite dispersed from the manufacturing site. Further, not all manufacturing may take place in one particular location. Based on the availability of expertise and the required operations to produce the product, components, subassemblies, or assemblies could be produced in different geographical locations. This creates the necessity to transport raw material, components, or assemblies in a timely manner from one location to another based on the needs of the supply chain. All customers prefer not only an efficient delivery system but also one that is damage-free. In this chapter, we consider a model whereby service organizations offer a contract for damage protection based on product value. The objective is to determine the premium to be charged by the service organization so as to at least break even or accomplish a desired profit margin.

The search for a better grasp of the what, why and how of product value is analogous to the quest for the Holy Grail. Just when you think that you finally have a handle on it, the mirage fades away and another appears on the horizon, full of hope. So go our efforts to understand customer valuation of products. There exists a value definition at every turn, but one is never too sure how they all fit together (if they do at all!). This article attempts to reconcile the various definitions in the search for an operational framework of product value.

The purpose of this paper is to explain to managers of small and medium enterprises (SMEs) and other professionals why they need to connect innovation and value creation in their decision-making processes when dealing with new or existing products.

Innovation and value creation are interconnected and you cannot have one without the other. However, to appreciate that interconnection, one needs to understand the form that value can take in products, the tangible form and the intangible. This understanding helps explain how culture and esteem affect product value, as well as how innovation happens in the technological field and in the cultural field.

Value and innovation are intrinsically connected and this should not be overlooked in any quest for new solutions. SMEs should pay more attention when developing innovation activities to ensure that they have the most suitable organizational structures and resources.

This paper clearly demonstrates the relationship between innovation and value creation.

In electronic commerce, businesses require to integrate two kinds of activities – ones that are embedded into the physical value chains and the others that are built through information into the virtual chain. Although the relative importance of these two kinds of chain depends on the characteristics of the products and services, their integration, nevertheless, plays a critical role in the success of e‐commerce. In e‐commerce, more and more value chain activities are conducted electronically, therefore, businesses should understand the implication of the virtual value chain activities. The virtual chain offers a number of distinct advantages over the physical value chain. Some of these advantages lie in forging alliances between customers and manufacturers, advertising products and services selectively with effects of audio, video, and graphics, and saving time and money in efficiently processing customer orders and enquiries. Besides, e‐commerce offers flexibility in option pricing and customization of products and service, by reducing the constraints of time and space.

This paper reexamines the traditional approaches to study value and quality, and suggests the need of linking these isolated approaches. A new concept called value mix which focuses on the customers’ perception of the value of a product or service in terms of function, quality and price is developed to provide a vehicle for an amalgamation of varied management thinking. Value is suggested to form the core of organisations’ strategic process of pursuing customer satisfaction. Leading edge can be forged by formulating and applying an appropriate value mix. Given that quality is the focus of total quality management (TQM) while value is that of value analysis/value engineering (VA/VE), researchers should explore the opportunity of integrating TQM and VA/VE tools and techniques to enhance product or service value.

Although visual prototypicality in fashion is an observed phenomenon, empirical examinations of the link between fashion products' design prototypicality and consumer evaluations still need to be included. The present study analyzes the influence of the visual prototypicality of fashion products on consumer-perceived product values and brand preference.

An online survey adopting the fashion product images with significantly differing levels of visual prototypicality was used to collect data from 456 US consumers. The hypothesized relationships among visual prototypicality, product values and brand preference were analyzed through multi-group analysis.

Perceived visual typicality of fashion product designs significantly increased the hedonic and utilitarian value of the product and only indirectly increase brand preference. The hypothesized positive relationship between visual prototypicality and the product’s social value was found to be significant only in the low-price levels but became insignificant in the high-price levels.

The findings of this study contribute to the extant literature by first providing an initial analysis of the mechanism of visual prototypicality in the fashion product design field. The results confirm that visual prototypicality indirectly influences consumers' brand evaluations by the product’s perceived value. This relationship was previously assumed but not empirically proven only in non-fashion product categories. The study also presents additional new points, further enriching the understanding of visual typicality. Additionally, the results show the complex relationship between the visual prototypicality of fashion product designs and the perceived social value of the product, which varies depending on the price range.

Maintains that, in multi‐product companies, frequently it is the case that decisions taken on the price of one product will have implications for other products in the range. Controversy has frequently centred on the role that costs should play in determining price. Discusses attempts to overcome problems in pricing by use of a marginal cost approach rather than a full cost approach, therefore allowing the pricing decision to become one of attempting to maximize the contribution the product will make — the difference between price and the direct and attributable costs. Posits that product costs become irrelevant to pricing decisions even though they are highly pertinent to the decision's profitability. Examines price as one of the simplest ways of segmenting markets, stating that price segmentation can become far more effective when based on value‐in‐use.

This study aims to explore and theorize value gaps within value chain management (VCM) by extending the service quality gap model to the context of global manufacturing value chains.

Drawing upon a case study of a small, family-owned Swedish furniture wholesaler, Alpha, this research adapts the service quality gap model and integrates it into the VCM framework. The investigation examines the value creation and delivery processes across a network of actors, highlighting how various gaps emerge at different stages of the value chain.

The study identifies and describes several value gaps, including those related to consumer understanding, manufacturing capabilities and coordination across the value chain. Value creation gaps arise from poor communication about consumer needs and product features, whereas value delivery gaps are mainly tied to manufacturing capacity and material restrictions. These gaps can result in misalignment between consumer expectations and the delivered value.

Although this study provides insights into the emergence of value gaps, further research is needed to determine the magnitude and reduction strategies for these gaps. In addition, understanding how consumers evaluate new products remains a critical area for investigation.

The research highlights the significance of a coordinated approach to managing value creation and delivery processes. It underscores the need for companies to capture accurate consumer data, consider manufacturing capabilities and engage in effective coordination with various actors in the value chain.

By addressing value gaps, companies can enhance consumer satisfaction and minimize potential dissatisfaction caused by misalignment between consumer expectations and delivered value. This, in turn, can lead to improved relationships with consumers and other actors within the value chain.

This research offers a novel perspective on value gaps in VCM, extending the service quality gap model to the realm of manufacturing. It underscores the importance of managing both value creation and delivery processes for enhancing competitive advantage in a global market.

Trade-offs that involve secular values of money and sacred human values are often seen as taboo. This paper aims to examine how consumers avoid making taboo trade-offs with anthropomorphized products, by choosing options that ensure the well-being of the humanized products, even at a financial cost to themselves.

The authors conducted five experiments, across different marketplace contexts (i.e. repairing, buying and selling), to test the broad generalizability of the extent to which consumers are willing to incur a financial cost due to concern for the well-being of anthropomorphized products.

The results reveal that consumers are willing to accept financially inferior options to protect the humanness endowed upon anthropomorphized products. The effect is mediated by consumers’ concern for the treatment of the anthropomorphized product. The effect is moderated by consumers’ trait empathy level, such that those low in empathy are willing to sacrifice human value for the sake of greater financial gain.

Future research could examine, in the context of anthropomorphized products, if there are types of human values that are less inviolable, leading consumers to be more willing to trade them off for monetary gains.

The findings have direct implications for second-hand markets. For potential buyers of anthropomorphized products, they should signal concern for the product; for sellers, anthropomorphizing their products can reduce haggling behavior. From a sustainability perspective, consumers may be more motivated to repair or recycle their products if it is framed as “infusing new life” into their products.

This work highlights a novel effect of anthropomorphism: when marketplace decisions are involved, anthropomorphizing a product can introduce a tension between secular monetary values and sacred human values. To the best of the authors’ knowledge, this work is the first to show that consumers are willing to incur a monetary loss to protect the humanness of anthropomorphized product, driven by their concern for the proper treatment of such humanized products.

This paper aims to understand how dual sustainable-labeling strategies influence perceived value dimensions (i.e. quality, emotional, social and price) across vice vs virtue products and level of consumers’ consideration of future consequences.

Two online experiments are conducted with private label brands: one with organic and Fairtrade labels and one with organic and local labels. For each experiment, a conditional process analysis was used with the labeling strategy (i.e. no label vs organic label vs Fairtrade/local label vs organic label + Fairtrade/local label) as the independent variable, the product types (i.e. vice vs virtue) and level of consideration of future consequences as moderators, the dimensions of perceived value (quality, emotional, social and price) as the dependent variables.

Dual sustainable-labeling strategies lead to higher positive perceived value levels on all dimensions compared to no-labeling strategy. They however do not necessarily lead to higher levels compared to mono-labeling strategies such as organic labeling strategy (except for social dimension). Additionally, the positive effect of dual sustainable-labeling is lower for virtue products compared to vice products and is stronger for consumers with high level of consideration of future consequences for vice products for the social-value dimension.

Prior research has focused on the effect of multi-labeling strategies on willingness to pay with mixed results. This study brings insights to literature by testing the impact of dual sustainable-labeling strategies on the dimensions of perceived value as well as the moderating effects of the product types and consideration of future consequences.