1.Respond to the following in a minimum of 175 words:
- Discuss the difference between economic value and social value or the shared value creation framework.
- Why do you think organizations tend to focus on the creation of one type of value, but not both?
2. RESPOND TO the following classmate:
3 hours ago, at 3:19 PM
Economic value is the monetary value people place on a product or service based on its benefits. With economic value, it can be the determining factor whether or not the consumer purchases the product/service or not For example, if you decided to purchase a a gallon of milk the the value is placed on how badly you want it, knowing that you can use that money for something else Basically it is a preference. Social value is more of a how people are affected by the change they experience. Like morals and beliefs will influence your decisions and interactions. An example would be how your influences eventually determine how you engage with people or how you make decisions. I do not think an organization can afford to focus on more than 1 value at a time because i think it would be counter productive. What do you value more experience or cost? How is someone suppose to make a decision of what is more important to them but, addressing economic value may be more effective.
3. Respond to the following classmate:
6 hours ago, at 12:17 PM
For years it seems many companies have made a slight shift to utilize shared value creation framework as they are more focused on the needs of both the social and economic values to create an enhanced business opportunity. Under the shared value creation framework an organization will look at opportunities to help the social or economic community in a way that creates value for the company and the people they are trying to help. By having a shared value business structure an organization is giving back to those who are in need by providing services and creating products that will in turn create benefit for all parties involved. There is less less profit under the shared value creation framework but gives the organization more value to as they are giving back to those in need and or helping the community. A great example of shared value creation framework is Caterpillar Inc. who has created many opportunities giving back to communities in need, they believe in social responsibility and creating an enhanced economic environment. Caterpillar Inc. creates new value as they give back to the community in the forms of clean water, shelter, education, and so on. Many companies create new added value as they help create change in a world of need, although profits and revenues from other aspects of they business will continue to play an important role in the companies future.