Purchase Solution

Creating and Capturing Value

Not what you're looking for?

Ask Custom Question

Define the concepts of creating and capturing value. Which is easier to accomplish?

Purchase this Solution

Solution Summary

The expert examines creating and capturing values.

Solution Preview

Value Creation is also called Value Added. Value is created anytime an action is taken for which the benefits exceed the costs, or anytime an action is "prevented" for which the costs exceed the benefits. This applies to several aspects of production: quantity, quality, entry, innovation, method of production. Also applies to relationships between the firm and its employees, e.g., job safety. The concept of value creation says nothing about profit. The benefits are measured to the consumer; the costs to the firm-you can't determine profit just from that. The selling price determines the amount of value that ...

Purchase this Solution

Free BrainMass Quizzes
Economics, Basic Concepts, Demand-Supply-Equilibrium

The quiz tests the basic concepts of demand, supply, and equilibrium in a free market.

Economic Issues and Concepts

This quiz provides a review of the basic microeconomic concepts. Students can test their understanding of major economic issues.

Elementary Microeconomics

This quiz reviews the basic concept of supply and demand analysis.

Basics of Economics

Quiz will help you to review some basics of microeconomics and macroeconomics which are often not understood.

Pricing Strategies

Discussion about various pricing techniques of profit-seeking firms.