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We measure value creation by activist investors via structural estimation of a model of the choice between passive investment and activism. Our estimates imply that average returns following activist intent announcements consist of 74.8 % expected value creation, or treatment, 13.4 % stock picking, and 11.8 % sample selection effects. Higher treatment values predict improvements in firm performance and lower proxy contest probabilities, whereas abnormal announcements returns do not, suggesting that our estimate identifies more effective activism campaigns. The evidence demonstrates the importance of using the joint distribution of investment strategies and announcement returns to recover the expected returns and costs of activism.

International audience; Although coopetition literature developed a lot for years, several dimensions remain under-studied. This paper addresses three of these gaps. First, the dilemma between value creation and value appropriation for coopetitors; second, the lack of empirical studies regarding the mechanisms of coopetition among micro-firms in traditional activities; third, the recent interest for geographic levels in coopetition, with a focus on the local level. Our research question is therefore: What are the mechanisms of value creation and value appropriation in local-level coopetition among micro-firms in traditional industries?We use an in-depth case study about a small French wine appellation, which is characterised by a modestly sized cultivated area occupied by small micro-firms, the existence of a cooperative cellar, but also a weak brand image.Our research contributes to the ongoing coopetition discussion in three ways: we enrich the literature on coopetition by documenting value creation and appropriation mechanisms, identifying nine different mechanisms that are collective or individual; we provide some empirical insights to coopetition literature regarding micro-firms and local-level coopetition; we produce some managerial recommendations.

This study aims to resolve the difficult problem of manufacturers’ service outsourcing strategy decision-making, with services divided into two types: hygienic and motivational. We build a value creation model for the manufacturer, service contractor, and customer under different outsourcing strategies, and we examine optimal outsourcing decision-making in various scenarios and its effect on the value creation of related entities. The results indicate that motivational services have a lower bound characterized by service utility. When the manufacturer derives services higher than this lower bound, it should operate its own motivational service and outsource the hygienic service to create greater value. When the manufacturer is limited by resources or capabilities and is required to outsource the motivational service, it can maintain value creation by setting an appropriate contract coefficient. The service contractor should undertake motivational services within the contract boundary negotiated by the manufacturer and conduct hygienic services outside the boundary. Theoretically, outsourcing both service types can maximize customer value, but this may not achieve the manufacturers’ optimal value creation.

Blockchain technologies are quickly changing the competitive business landscape. Companies need to think strategically about how to best prepare for a future in which they might systematically enhance value and unleash new value using blockchain. In this article, we address how cooperating companies jointly create unique value with blockchain technology, the risks they face along the way, and how they can mitigate those risks. We briefly identify three different reasons a company might adopt blockchain – to enhance value creation, to strengthen existing value ecosystems, or to create new value ecosystems. Then, we identify three strategic risks of blockchain adoption as they relate to business issues, legal issues, and technological issues. Finally, we highlight four different forms of strategic maneuvers for minimizing these risks. The strategic maneuvers include the all-industry approach, the walled garden approach, the many gardens approach, and the options approach. We provide prescriptive advice to managers on how to strategically think about blockchain adoptions, how to identify the underlying risks, and how to consider strategic approaches to mitigate their adoption risk.

Companies increasingly engage in corporate volunteering (CV), in which employees are encouraged to partake in societally beneficial activities that are organized by their employer in collaboration with non-governmental organizations (NGOs). In addition to direct effects for CV beneficiaries, company–NGO relationships in CV also generate a variety of effects through the individuals and organizations involved, resulting in the emergence of social impact. This study examines the emergence of social impact within relationships between companies and NGOs in CV. Existing research on CV, social impact, and value creation in business relationships is employed to examine the social impact emerging from such relationships. Four cases of CV projects undertaken by companies with NGOs are analyzed. The present study concludes that social impact emerges in company–NGO relationships in CV throughout the duration of the relationship and the volunteering project episodes and through the interplay of value created at individual, organizational and societal levels.

For several years now, the two megatrends of servitization and digitalization have had a major impact on business in manufacturing. Servitization means the addition of complementary services to products aiming for increased revenues, margins, and differentiation from competitors. Digitalization refers to the rapidly evolving information and communication technologies, enabling intelligent and interconnected products. The convergence of the two megatrends leads to so-called smart services; digital services that generate additional value from data of smart products. Smart services enable new promising business models going far beyond traditional services. Consequently, the value creation in manufacturing is shifting drastically. Manufacturing companies striving to offer smart services need to plan for their future value network (VN) and must define their position in it. However, this is not a trivial matter. Manufacturing companies must extend their often historically grown value creation with new mechanisms, such as processing machine data, and structures, such as digital platforms. Hence, the complexity of the underlying VN of a successful smart service business is far greater than traditional VNs in manufacturing. To tackle these challenges, our research aims for a design support for smart service VNs. The research follows the guiding principles of design science research, utilizes the design research methodology, and integrates a systematic literature review. This results in a framework giving a general understanding of smart service value creation. The framework is supplemented by 44 value creation roles for smart services, which help planning the VN and positioning of the focal company in it. Hence, we empower managers to design their companies' future value creation for smart services. The framework and roles further extend the scientific knowledge base regarding the understanding of value creation through and with smart services.

Gene therapy for hemophilia is designed to produce health gains for patients over many years. Rewarding that value creation on the basis of a one-time treatment implies a large upfront cost. This cost can only be justified by long-term health benefits and being cost-effective compared with conventional treatments. Yet, uncertainties about the long-term benefits make it challenging to assess clinical and economic value of gene therapies at launch. We identify and discuss key methodological challenges in assessing the value of gene therapy for hemophilia, including the immaturity of evidence on the durability of benefits, lack of definition and valuation of cure for chronic diseases, absence of randomized controlled trials, limitations of traditional quality of life measures in hemophilia, approach for qualifying cost-savings compared with current treatments, and choice of perspective. The Institute for Clinical and Economic Review has developed a framework for assessing single or short-term therapies (ICER-SST) and has applied it in hemophilia. After reviewing this framework and its application, we recommend the following when assessing the value of hemophilia gene therapies: (1) leveraging expert clinical opinion to justify assumptions on the durability of benefits; (2) using external synthetic controls and lead-in, self-controlled trials to assess comparative effectiveness; (3) addressing limitations of traditional quality of life measures through the use of modified utility collection approaches; (4) adjusting cost offsets from gene therapies with caution; (5) considering outcome-based contracting to address uncertainties about prices and long-term outcomes; and (6) presenting societal and healthcare system perspectives in parallel.

Circular bioeconomy represents a recent political vision expected to contribute in tackling the main challenges faced when sustainable industrial transition trajectories are to be implemented. Coordination and interdependence among actors are crucial steps for value creation when developing new sustainable supply chains. Current study is based on a choice experiment devised with contract design theory applied to a specific supply chain in which a circular bioeconomy strategy is implemented. It investigates the propensity of Sicilian millers to participate in a novel supply chain in which feedstuff is produced by processing a by-product, namely olive cake. Furthermore, millers contract attributes’ preferences are analysed. The results from two econometric models reveal that 71% of the interviewed entrepreneurs would participate in the proposed supply chain while the propensity to participate is positively related with firm size and millers’ attitudes but decreases if millers experienced previous investments or have previously participated in cooperatives. Moreover, respondents prefer shorter length of contract, with a minimum guarantee price, with a renegotiation option, and without the obligation of a minimum volume of product to be supplied. Contract agreements, when contract characteristics are designed ad hoc, are proved to be effective tools for circular bioeconomy supply-chain development.

The momentum has been building toward the realisation of the United Nations Development Programme's Sustainable Development Goals (SDGs). In this regard, technological upgrading through the adoption of innovative technologies, as in big data analytics (BDA), can be seen as a key enabler of helping to address societal challenges. While there is some evidence for realising value created from BDA adoption, organisational issues associated with societal challenges, specifically those targeting the SDGs, are yet to be appreciated. This study utilises a technology–organisation–environment framework to examine the role of top management support in facilitating value creation from BDA adoption for the realisation SDGs. Based on a survey of 320 UK managers, this study found that the technological driver of BDA coupled with top management support, can significantly help in the adoption process. Therefore, crafting the value needed for effectively supporting the realisation of these goals.

Entrepreneurship in rural, peripheral and organisationally-thin areas across developing economies remains somewhat ignored within mainstream rural and entrepreneurship studies. This discussion and the research it reports seek to address this gap, more specifically regarding the concept of ‘value’. The commonplace equating of ‘value’ with economic-financial value is questioned. Empirical results from Chinese and Thai rural entrepreneurial ventures evidence the need to revisit the following research assumptions: (1) that value creation/dissipation is about economic-financial venture value only; (2) that value creation/dissipation is defined and generated internally; and (3) that economic-financial and other types of value are incompatible. Our empirical research draws a picture of – ethical-moral, social, and sentimental – value that is nuanced and complex. The stark juxtaposition of economic-financial and other types of value is questioned. Value is shown not to be created not in isolation but is co-generated in association with multiple parties in a cumulative, multi-contextual fashion.

Social enterprises access large networks of stakeholders to gain strategic benefits. We identify determinants for creating blended value through partnerships of social enterprises and develop an understanding of blended value co-creation. Findings from 18 cases suggest that most social enterprises generate value by integrating partners in the businesses’ structures or by venturing into deeper personal connections through extensive knowledge-sharing that can culminate in partner-specific assets. Social enterprises take two distinct approaches in designing their relationships: an anthropocentric extroverted or a structurally integrated approach. By adding a social perspective on value creation, this study enriches the concept of the relational view.

This paper addresses the ‘smile curve hypothesis’ which suggests that the potential for generating value added varies significantly across the value chain with the production stage being the least promising segment. Based on granular greenfield FDI data a metric is developed that allows capturing the functional specialisation of countries in global value chains at the industry level. The measure not only provides new insights into the specialisation of countries as ‘factory economies’ or ‘headquarter economies’ but is also used to test and confirm econometrically the smile curve hypothesis by showing that countries specialised in the production stage of the value chains tend to generate less value added per unit of output produced than those specialised as headquarter economies.

This study examines the digital transformation effects of artificial intelligence (AI)-based facial and music biometrics on customers’ cognitive and emotional states, and how these effects influence their behavioral responses in terms of value creation. Using a real-life, major optical retail store in China, 386 customers participated in a five-day experiment with different types of music (enhanced by music-recognition biometrics). The findings show that for utilitarian-type customers in a high-involvement AI purchase condition, music-recognition biometric-induced emotion mediates cognition and behavioral intentions. Both likability and the tempo of the music affect the impact of music on cognition. This study contributes to a better understanding of the relationship between cognition and emotion induced by AI-based facial and music biometric systems in shaping customer behavior and it adds to the atmospheric literature. This is a significant contribution given the paucity of research in the context of the Chinese retail environment, which is now a significant retail market with global importance.

This study examines how tensions arising from business model innovation (BMI) are managed within a social purpose organisation (SPO) network. We utilise a case study to illustrate how tensions within a network with a dual (social and economic) mission focus, present themselves at three key stages of BMI (initiation, exploration, and exploitation). Moreover, we use illustrative examples to show how network tensions are managed through dynamic capabilities (sensing, seizing, and transformational). The findings show that while engaging in BMI can improve the competitiveness of SPOs, the tensions emerging from a dual mission focus in a multi-stakeholder network are complex, which need to be addressed by careful and nuanced planning in practice. Furthermore, different dynamic capabilities may mediate the effect of tensions and thus help SPO networks to be more effective at different stages of BMI and accomplish a dual mission.

Circular economy (CE) and sharing economy (SE) are much discussed concepts but potential links between them have not been examined systematically so far. The concepts' popularity coupled with a lack of definitional consensus may hinder their potential to advance sustainability transitions. Hence, the first comparative bibliometric study of these two concepts was carried out. It was found that they share notable links in the fields of sustainability, business models, sustainable consumption and governance. Business model literature reveals links mostly in the realms of platform- and service-based activities. The field of SE has a strong consumer focus but, unlike CE, barely addressed rebound effects so far. Governance literature shows a general top-down dynamic driving CE, while SE is considered to be bottom-up. SE is conceptualized as a subset of CE which opens possibilities for mutual enrichment. The findings aim to provoke more dialogue between the CE and SE communities.

Artificial intelligence (AI) will substantially impact retailing. Building on past research and from interviews with senior managers, we examine how senior retailing managers should think about adopting AI, involving factors such as the extent to which an AI application is customer-facing, the amount of value creation, whether the AI application is online, and extent of ethics concerns. In addition, we highlight that the near-term impact of AI on retailing may not be as pronounced as the popular press might suggest, and also that AI is likely to be more effective if it focuses on augmenting (rather than replacing) managers’ judgments. Finally, while press coverage typically involves customer-facing AI applications, we highlight that a lot of value can be obtained by adopting non-customer-facing applications. Overall, we remain very optimistic as regards the impact of AI on retailing. Finally, we lay out a research agenda and also outline implications for practice.

Background Consumers' possibility of connecting to the surrounding world has rapidly increased the use of interactive communication technologies in their daily lives. This constitutes a major trend in the food sector, which is worth investigating in order to improve the understanding of the influence of the technologies on consumers' value creation, understood as consumers’ improved well-being, in relation to food. Scope and approach This paper focuses on consumers' value creation in the food domain. It defines value as a dynamic concept and develops a framework for categorising and discussing interactive communication technologies based on their potential to support consumers in their interaction with their surroundings. The aim is to provide an overview of how these technologies support consumers’ value creation as well as to provide some critical reflections. Key findings and conclusions Interactive communication technologies can facilitate consumer interaction with organisations, peers, and technical devices. Value creation potential can be related to two processes: 1) the product development process improving products and assortments responding to consumer needs, or 2) the product usage process supporting dietary management, access to information, entertainment, sensory experience, and finally, more flexible social relational aspects. Critical reflections on consumers’ use of these technologies, such as privacy concerns and the risk of misinformation influence, are provided. Finally, implications for the implementation of interactive communication technologies in the food domain as well as suggestions for future research are provided.

Participation in open innovation networks presents challenges, as firms must recognize value before being willing to openly collaborate, yet opportunities typically cannot be realized without active engagement. Innovation intermediaries can address these tensions through orchestration mechanisms which create value at different levels of innovation networks. This paper addresses an important research gap by identifying the role of intermediaries in delivering open innovation activities across different levels and describing how these activities form interrelated orchestration mechanisms. A longitudinal case study follows the development of an open innovation network from inception, based on interviews and observations with participants including start-ups and large firms. Findings highlight how intermediary activities and practices align with orchestration mechanisms used simultaneously at different levels and create value for members. A multi-level analysis contributes to the open innovation literature by describing the interdependent nature of value creation within the innovation intermediary model.

Firms can achieve sales growth by strategically emphasizing value creation or value appropriation activities. Surprisingly little is known about the impact of pursing these activities with internal resources as well as via strategic international alliances. Using a data set of 1469 strategic international alliances over a 20-year period, the authors examine how emphasizing value creation versus appropriation – and implementing each internally versus externally – impacts sales growth. Using a novel construct, strategic international alliance emphasis, that captures the tradeoff between value creation and appropriation via international alliances, the authors find that an external focus on value creation increases sales growth. This effect can be further enhanced when firms focus simultaneously on value appropriation internally. In addition, the ratio of international alliances and percentage of joint ventures in firms' alliance portfolios impacts the effect of external value creation on sales growth. These results highlight the importance of coordinating strategic emphases internally and externally.

In this paper, we explore the relationship and interdependencies of firms’ positions in global markets, innovation, foci on value creation or value development strategies and their intensity of use and system design of management accounting (MA) tools. We collect data through a survey of the 500 largest Portuguese firms. The results show multiple interdependencies of MA intensity of use and system design and global positioning as well as the value foci of firms. Global market positioning, as well as MA intensity, is directly associated with innovation. The multiple configurations also show that the value strategy focus (creating new products or solely developing them for different markets) changes the nature of the MA system put in place by firms. Consequently, we contribute to the discussion of MA systems vs MA packages by specifically addressing the fit and internal consistency of those tools. Methodologically, the results are robust to different analytical tools - multivariate regression, fuzzy-set qualitative comparative analysis (fsQCA) and factor analysis.

The digital transformation opens up a wide range of potentials to design value creation processes more efficiently. However, performing the digital transformation requires far-reaching changes from companies. These changes are not just technical but affect the organization and the employed people equally. In particular, the interactions between technical, organizational and human dimensions represent a breeding ground for risks that could endanger the successful digital transformation and thus should be managed preemptively. Hence, suitable approaches must deal with socio-technical characteristics. In this paper such approaches are identified by means of a comprehensive literature review resulting in research gaps for future research.

Corporations are leveraging machine learning (ML) to create business value (BV). So, it becomes relevant to not only ponder the antecedents that influence the ML BV process but also, the main actors that influence the creation of such value within organizations: data scientists and managers. Grounded in the dynamic-capabilities theory, a model is proposed and tested with 319 responses to a survey. While for both groups, platform maturity and data quality are equally important factors for financial performance, information intensity is an equally important factor for organizational performance. On one hand, data scientists care more about the catalytic effect of data quality on the relationship between platform maturity and financial performance, and the compatibility factor for organizational performance. On the other hand, managers care more about the feasibility factor for financial performance. The findings presented here offer insights on how data scientists and managers perceive the ML BV creation process.

Does a firm’s entrepreneurial orientation (EO) play a role in creating or destroying value through corporate acquisitions? Extant research has sought to assess the influence of EO across a multitude of strategic contexts, but to-date has not addressed business venturing through acquisitions. Given that worldwide deal values since 2000 total more than $57 trillion, the omission has become conspicuous. In response, this study investigates the relationship between EO and acquisitions through an analysis of 500 randomly selected deals consummated by U.S. firms between 2001 and 2012. The findings suggest EO’s impact on acquisition-related outcomes is ultimately a matter of degree, with curvilinear effects driven by interactions between EO and three key contingencies: relatedness, method of payment, and acquisition premiums. For each of these moderators, high and low levels of EO are associated with value destruction, while moderate levels, on average, generate positive returns for acquiring firms. However, the relationship is not symmetrical. Firms exhibiting high levels of EO experience significantly worse acquisition-related returns than firms with low EO. The study contributes conceptual, empirical, and methodological insights for both scholars and practitioners by viewing acquisitions through the lens of EO.

In this multidisciplinary and conceptual paper, we use insights from new and challenging developments in the management and marketing literature to inform corporate governance research. We shed light on the role of governance and specifically boards of directors in value creation in small and medium enterprises. While corporate governance research mostly tends to emphasise the role of governance mechanisms such as boards in the protection and distribution of value, our research problematises such a narrow view and (re)conceptualises their role in value co-creation. By exploring the role of boards as resource integrators within a wider service ecosystem, we propose novel ways in which boards can become integral to firms’ value creation processes. In doing so, we develop a new logic for framing the boards’ tasks and suggest new directions for corporate governance research and practice. We apply an empirical conceptualisation strategy in order to make our findings more accessible.

Alliances are often thought to be longer lasting and lead to better results when they are perceived as equal and fair in terms of how efforts and rewards are distributed. This study conceptualizes the value-creation-capture-equilibrium (VCCE) as the relative inputs and efforts made by alliance partners to create and capture innovation-related value. We seek to better understand the determinants of the VCCE in dyadic new product development (NPD) alliances. We focus on three factors from a focal firm's perspective: (1) the coopetition intensity with the alliance partner (i.e. simultaneous competition and collaboration), (2) the expert power of the alliance partner, and (3) the relative importance of the particular NPD alliance. We hypothesize that coopetition intensity stabilizes the VCCE. Furthermore, we assume that the partner's expert power and the focal firm's relative alliance importance negatively moderate the relationship between coopetition intensity and the VCCE. Based on a dataset of N = 471 NPD alliances of high-tech firms, we find partial support for our hypotheses and contribute towards a better understanding of the factors influencing the VCCE in NPD alliances.

Firms' choices on corporate social responsibility (CSR) and environmental, social and governance (ESG) implementation strategies can arguably have a positive impact on their value and performance. This “doing well by doing good” view remains debated in the literature. Our study contributes to this debate by investigating the impact of firms' engagement in ESG policies on their innovation capacity levels. More specifically, we apply a nonparametric frontier analysis framework to a sample of 320 Japanese firms over the period 2008–2016. Our study provides evidence of a nonlinear relationship between ESG policy adoption and firms' innovation capacity. In other words, our findings are consistent with a process of “indirect value-creation” under which firms' CSR/ESG policy adoption initially enhances their ability to pursue innovation activities and, then, eventually affects positively their value creation and financial/operational performance.

Although acquisitions rarely deliver the anticipated value acquiring firms estimate, it remains a popular strategy for growth. We draw upon agency theory to investigate two types of stakes acquiring firms can obtain during an acquisition to ensure greater post-acquisition value – voting rights and cash flow rights. Using domestic acquisition data in Japan over 12 years to test our hypotheses, we find that greater voting rights directly improve value creation and positively moderate the effect of cash flow rights to improve acquiring firm value. This study sheds light on the strategic mechanisms crucial for post-acquisition integration value creation, and highlights acquisition strategies.

This article examines how rhythmanalysis can expand understanding of the spatiotemporal features of the host-visitor interface, examining the Telemark Canal region in Norway and its rural development and heritagization processes. Part of the heritagization of the Telemark Canal is to utilize the potential of the canal as a tourist attraction in order to generate economic, social and cultural value in the broadest sense within nearby local communities. By investigating the rhythms and polyrhythms of hosts and visitors of the canal, and revealing a significant arrhythmia, we demonstrate that there is an unfulfilled potential in how travellers along the Telemark Canal contribute socially, culturally and economically to local development. The key to local economic as well as social and cultural development from tourism is in enhancing the connections between visitors and the canal's host communities. We argue that intervening through rhythms at the interface between hosts and visitors might be the key to utilizing more of the potential of value creation from canal tourism.

Big data analytics has been a topical area in the past decade. Despite it is emphased as a promising tool for the B2B sectors, there is a short of academic studies about this phenomenon in the industrial markets. Existing big data analytics focuses more on the consumers' marketing aspect, while in fact both the consumers' data and the machine-generated transaction data can be gathered and analysed at the interorganisational level. Subsequently, there is a need to increase the attention on the B2B aspects of big data analytics and the interactions of stakeholders. This paper, therefore, investigates the digital transformation enabled by big data analytics in the industrial markets and provides a conceptual framework. It solicits research articles that provide insights into various industrial contexts of this topic and applied both qualitative and quantitative approaches to identify the big data gathering and applications for value creation.

Co-creation, the joint effort of diverse stakeholders of an organization to enhance the value creation process, is a key in developing shared goals. However, the recent trend of an increasing number and size of mammoth buyers has put the smaller manufacturing suppliers in subordinate roles and relegated their goal to survival. This study, by examining the effect of co-creation on the performance of small and medium manufacturers (SMMs) that supply parts or components to large corporate buyers, found that co-creation does have a significant positive impact on organizational performance through their enhanced strategic advantage. Thus, co-creation is not only important to just large organizations, but even more so to SMMs, as it elevates them from a win-lose relationship to a collaborative partnership with their large buyers. This study makes both theoretical and practical contributions as it is one of the first empirical studies that analyzed the impact of co-creation on SMMs' performance.

Although initial public offering (IPO) survival is a well-studied phenomenon, the combinations of organizational orientations and strategic emphases that lower the odds of IPO failure (i.e., delisting within five years from IPO) remain less studied. Due to the resource-intensive nature of these orientations and the limits of managerial attention, committing to an orientation and a conducive strategic emphasis may be important to IPO survival. We ask whether post-IPO firms relying on market orientation (MO) and strategic emphasis on advertising have higher odds of survival than those relying on entrepreneurial orientation (EO) and strategic emphasis on research and development (R&D). In a sample of U.S. IPOs, we find that MO significantly improves the odds of IPO survival and greater strategic emphasis on value appropriation (advertising) further improves the odds of IPO survival. However, greater strategic emphasis on value creation (R&D) and EO have no influence on IPO survival.

Due to their specific industry characteristics, companies in single and small batch production encounter completely different challenges than companies in series production. The lack of repetitive effects and thus the resulting lack of transparency, complicate the optimization of manufacturing processes. However, the realization of digital production twins promises the exploitation of existing potentials. The digital production twin represents a virtual image of the production process and, in addition to increased transparency regarding the occurring processes, enables data-supported decision making through the usage of individualized digital applications. This paper focusses on the development of a methodology for the creation and implementation of digital production twins in single and small batch production companies.

This paper aims to present a sustainability model for the olive sector in Palestine. Based on a Life Cycle Analysis, the entire sector processes are accomplished in three main stages: cultivation, oil extraction, and oil treatment. The main inputs for these three stages are energy, water, labor, and machines with different values for each stage. The value creation index can be defined as the ratio of revenues to costs. Value creation index is calculated for each stage of the olive sector and the results showed that the total value creation for the sector is greater than two indicating olive sector feasibility.

Service value is affected by providers, receivers, and/or its environment. To that, value creation model (Ueda et al. 2008) could provide us deep insights on an issue of how to synthesize value. In the meantime, traditional decision theory is not enough to address such a value issue. This is mainly because decision theory is constructed on a probability basis. It implies that the theory cannot deal with co-creating situations and is not intrinsically appropriate for analyzing service decision problems. On the other hand, Gilboa and Schmeidler (1995) proposed Case-based Decision Theory, which describes decision-making in a human’s inductive manner. In this paper, as a case of service decision problems, we discussed value creation model from the viewpoint of Case-based Decision Theory.

53rd CIRP Conference on Manufacturing Systems 2020, CIRP CMS 2020, onlne, 1 Jul 2020 - 3 Jul 2020; Procedia CIRP 93, 20-25 (2020). doi:10.1016/j.procir.2020.04.013 special issue: "53rd CIRP Conference on Manufacturing Systems 2020 : 53rd CIRP Conference on Manufacturing Systems / Edited by Robert X. Gao, Kornel Ehmann", Published by Elsevier, Amsterdam [u.a.]

An internationally distributed learning factory (IDLF) provides opportunities to make students aware of intercultural challenges in global production networks. An IDLF is a scalable network of learning factories with value creation processes in spatially distributed locations. It enables collaboration and competition between student groups in distant locations and considers manual and automatic process methods. Due to the high number of design alternatives for IDLFs, a systematic approach for describing attractive characteristics is required. This paper shows design alternatives for IDLFs structural and process organization on the example of learning factories in Germany, Turkey and Vietnam.

The objective of this study is to explore the blockchain-enabled value creation process in supply chain finance (SCF). We analyze the roles of participants (who?), motives (why?), resources (what?), and practices (how?) through the lens of service-dominant logic and social exchange theory. We conducted an exploratory case study of a blockchain-based platform that offers SCF solutions for supply chain partners and interpreted the results through a series of qualitative analyses. The results prove that the blockchain-driven SCF solution provides services to its customers by applying key resources and conducting corresponding practices, which create value for the participants through meeting their motives.

In many organizations, the role of purchasing is in a transition from a reactive order taker, into a proactive and internally integrated business partner. Building on a Resource-Based View and Capability-Based View, this study explores how purchasing professionals' involvement and proactive efforts in sourcing processes affect sourcing project outcomes, in terms of both value creation and supply risk reduction. The authors gathered data on 112 sourcing projects from a large, private financial services company with in-depth and structured interviews with key stakeholders. A structural model deploying the research hypotheses was analyzed using the Partial Least Squares technique. The results reveal that, driven by early involvement of and responsibility granted to the purchasing professional, purchasing proactivity enhances value creation and supply risk reduction sourcing outcomes. Specifically, proactivity mediates the effect of purchasing's involvement on value creation. This study empirically establishes the importance of purchasing proactivity, serving as critical capability of purchasing professionals. Following a dyadic logic, this impacts industrial marketers. More specifically, when purchasers build capabilities to show proactive behavior to enhance value creation and risk reduction, marketers need to develop capabilities to facilitate purchasers in their endeavors.

Servitization generates implications for the manufacturers' value creation, delivery and capture processes and also for their customers and business partners. As individual studies have started to investigate the different value processes in servitization and the effects they have on the manufacturers' wider context, it becomes important to consolidate prior research and develop an integrative understanding of value in servitization. The present study is based on a systematic review of the servitization literature, expanding the research scope from a dyadic to a triadic, network and system level of analysis. The study creates a value architecture framework which establishes a comprehensive understanding of value in servitization, with implications for future servitization theory building and strategy development.

Market orientation has been well studied within the firm but not across the supply chain. While firms rely more so on their suppliers for value creation in today's markets, research has not yet investigated the role of the supplier's market orientation relative to the focal firm's own market orientation and performance. Consequently, the current study seeks to expand the concept of market orientation from the level of the firm to the supply chain with dyadic archival and survey data from 482 firms (241 focal firm-supplier dyads). Our findings indicate that the supplier's market orientation has a direct and positive impact on the focal firm's ROA and that the strength of this relationship increases when firms operate in more uncertain (munificent, dynamic, and complex) business environments. Further, the supplier's market orientation partially mediates the relationship between the focal firm's market orientation and the focal firm's ROA, and the focal firm's market orientation also directly impacts its supplier's market orientation. These results therefore establish the complexity of market orientation within the supply chain to drive firm performance, thereby extending extant literature. As such, several noteworthy theoretical and managerial implications are presented.

Background Soy whey is a by-product generated from both tofu and soy protein isolate production. This by-product contains a substantial amount of nutrients consisting of proteins, simple sugars, oligosaccharides, minerals, and soy isoflavones. Soy whey is commonly disposed of into the sewage after it is generated, and this pollutes water bodies. Scope and approach Researchers from various countries have explored the valorization of soy whey for value-add or value creation in addition to mitigate the environmental pollution. This review article aims to evaluate the current status of soy whey valorization research and the learning points that can be adapted from the dairy whey valorization research which are more extensively studied than soy whey valorization research. Various methods of soy whey utilization are discussed, which can be broadly classified into two categories: physical and microbiological/enzymatic. Physical methods include the recovery of the nutrients (eg. isoflavone, protein and minerals) and the production of various functional ingredients (eg. emulsifiers), whereas microbiological/enzymatic methods include the production of functional ingredients using microorganisms and enzymes (eg. prebiotic and citric acid), propagation of microorganisms (eg. probiotics) as well as biofuel production. Key findings and conclusions Even though there have been various efforts in valorizing soy whey, most of these studies still generate a significant amount of waste at the end of the processes. Therefore, there is a need to find an efficient method to significantly valorize soy whey without significant residual waste or generation of new waste and dairy whey valorization technologies may serve as a template for efficient soy whey valorization.

The increasingly efficient use of scarce resources is a central theme in the gradual transition towards a circular economy. Hazardous materials represent a category of resources that is often difficult—and potentially risky—to transport, store, or neutralize. As a result, hazardous materials are rarely included in closed material loops. The present paper analyzes HorsePower, a business concept centered around an innovative way of utilizing horse manure. Horse manure is generated in millions of tons in horse-rich countries such as the UK, Germany, and France. It is a hazardous resource, as it may spread diseases, and cannot be disposed of or landfilled economically. The content analysis of 21 semi-structured interviews carried out with different business actors participating in the HorsePower business network reveals that the success of HorsePower stems from its ability to combine the complementary capabilities and material needs of a relatively complex network of business actors including stables, sawmills, logistical service providers, and heat and power plants. Each actor receives added value; the benefits from participation are greater than the sacrifices of participation. Furthermore, the findings show that certain types of hazardous resources, when combined with resources produced by another actor, may be burned efficiently and safely in specific power plants, reducing the need for other types of fuel. The observations imply that novel approaches for effectively sharing ideas and resource needs across organizational boundaries are needed to facilitate the development of additional innovative CE business concepts, leveraging both actor-specific capabilities and intra-actor resource dependencies. acceptedVersion

The paper evaluates the effect of a Portuguese innovation subsidy (SI Innovation), launched in 2007–2013, on firm performance. Using counterfactual analysis methods and a sample composed of firms with approved applications and non-approved ones, the study shows that firms with the best proposals and with higher performance in the pre-intervention period are more likely to receive the subsidy. A positive and sustainable effect of the subsidy, within a time-window of 5 years, on fixed asset investment and technological progress are found. However, it seems that public support has only an effect on the size of investment and not on the decision to invest. Subsidized firms also perform less well than matched non-subsidized ones, and they are less effective in achieving the planned goals concerning labour productivity and value creation.

Clothing reuse is a consumer disposal behavior that has been underexplored, although it has important consequences for the society. From the perspective of customer-dominant logic, reusing clothing is a consumer value creation behavior. To measure this tendency, we conducted a mixed method study in Ecuador, a developing Latin American country. We used 20 in-depth interviews followed by a survey of 425 adults to identify the factors associated with the tendency to reuse clothing. The study also identified gender differences regarding this behavior. Several factors in consumers' lives were revealed that explained the tendency to reuse clothing, including income, occupation, altruism, and physical environment. The study also showed that various population groups (e.g., lower income groups, younger individuals, students, and women) had a greater tendency to reuse clothing.

The literature traditionally has focused its attention on the relationship between innovation and entrepreneurial activity. From this perspective, new innovations are accompanied by digital transformations that enhance value creation. However, it is also important to consider the effect of digital dividends on society overall as well as on entrepreneurship activity. Studies generally do not address this latter possibility. This paper analyses the theoretical and quantitative effects of digital transformation and digital dividends on entrepreneurial activity, that is, the broader developmental benefits that using these technologies brings, in the shape of digital transformation. Partial least square (PLS) estimation is used to develop an empirical estimation for the case of 29 European countries.

Public procurement accounts for more than 10% of global GDP. Digital transformation of public procurement creates new opportunities for value creation in international markets. Identifying and analyzing the companies, especially the SMEs, that can capitalize on these opportunities is therefore an important issue for policymaking, management, and scientific research. This study linked microdata on selected bidders from the Tenders Electronic Daily (TED) e-procurement portal and the Orbis database. Based on a sample of 933 Spanish companies, the analysis provides empirical support for the cross-border size bias conjecture. The reason for this bias is the predominance of large companies among those that serve both domestic and cross-border procurement markets. This bias disappears when the focus is placed exclusively on the cross-border market. This conclusion enables the identification and description of a herd of springbok firms. These springbok firms are defined as SMEs that eschew the domestic public procurement market to focus on the cross-border market.

Project stakeholder management deals with managing and fulfilling stakeholder expectations and has tended to focus on the viewpoint of the focal firm or the project rather than that of the project stakeholders. The stakeholders' perspective is important because they can significantly influence projects, particularly infrastructure delivery involving both public and private actors. This study focuses on the ways that stakeholders pursue influence on projects through their expectation of project value. The goal is to identify the value-oriented reasons for stakeholders to utilize specific influence strategies. A multiple case study was implemented in three transport infrastructure projects. The study argues that stakeholders' expectations of project value creation explain the stakeholder influence strategies utilized. The findings link project value with stakeholder influence strategies and reveal four influence strategies in transport infrastructure projects, differentiated according to their different value priorities. The unique value-influence combinations of public infrastructure projects are revealed and discussed. acceptedVersion

A circular business model represents a holistic system of co-evolving managerial practices for collective value creation, delivery and capture, which provide solutions for sustainable development. Previous research on circular business models aimed to understand value creation mostly in terms of a single managerial practice or in a relatively isolated manner. In particular, little is known regarding the system of managerial practices that creates value. Accordingly, this study proposes a theoretical framework characterized by a set of managerial practices in connection with relevant internal and external contextual factors for creating value within a circular business model. The framework was used in a specific case of a small medium-sized enterprise (SME) operating in building sector, which can be considered a great example of circular economy put into practice. Therefore, the explorative nature of the case allows for deep probing that helps consolidating the framework. Among the main results, essential outcomes included configuring and adapting the company’s business model to particular internal and external contextual factors; valorization of local waste by harmonizing managerial practices, and socio-cultural and socio-economic settings, as well as sustainable behaviours among the actors of supply chain. This study contributes to the field of circular business models research by adopting a broader, interdisciplinary approach toward the concept of value creation. Further, it provides managers with a roadmap for creating value by enhancing the degree of circularity within a given context.