Modeling and prediction of monetary and non-monetary business values

Margus Välja; Magnus Österlind; Maria Eugenia Iacob; Marten J. van Sinderen; Pontus Johnson

doi:10.1109/EDOC.2013.25

Modeling and prediction of monetary and non-monetary business values

Margus Välja, Magnus Österlind, Maria Eugenia Iacob, Marten J. van Sinderen, Pontus Johnson

Research output: Chapter in Book/Report/Conference proceeding › Conference contribution › Academic › peer-review

3 Citations (Scopus)

105 Downloads (Pure)

Abstract

In existing business model frameworks little attention is paid to a thorough understanding of the perceived customer value of a business’ offering as compared to competing offers. In this paper, we propose to use utility theory in combination with e3value models to address this issue. An actor's joint utility function specifies how much value the actor attaches to a given product or service's different qualities. Competing value offerings map to different points on the customer utility function, since they provide certain quantities of each quality. Since the customer can be expected to exhibit a utility maximizing behavior, his/her choices between offerings can be predicted. Thus, given the proposed utility extension, it becomes possible to quantitatively reason about the relative customer value of an offering compared to those of the competition. This, in turn, allows the optimization of price, the key ingredient in any business model.

Original language	Undefined
Title of host publication	17th IEEE International Enterprise Distributed Object Computing Conference, EDOC 2013
Editors	D Gasevic, M. Hatala, H.R. Motahari Nezhad, M.U. Reichert
Place of Publication	USA
Publisher	IEEE
Pages	153-158
Number of pages	6
ISBN (Print)	978-0-7695-5081-7
DOIs	https://doi.org/10.1109/EDOC.2013.25
Publication status	Published - Sept 2013
Event	17th IEEE International Enterprise Distributed Object Computing Conference, EDOC 2013 - Vancouver, Canada Duration: 9 Sept 2013 → 13 Sept 2013 Conference number: 17

Publication series

Name	Enterprise Distributed Object Computing Conference
Publisher	IEEE
ISSN (Print)	1541-7719

Conference

Conference	17th IEEE International Enterprise Distributed Object Computing Conference, EDOC 2013
Abbreviated title	EDOC
Country/Territory	Canada
City	Vancouver
Period	9/09/13 → 13/09/13

Keywords

EWI-23831
SCS-Services
Profitability analysis
Utility
METIS-300083
IR-88272
Business models
Business value
E3value

Access to Document

10.1109/EDOC.2013.25

PID28235212

Cite this

Välja, M., Österlind, M., Iacob, M. E., van Sinderen, M. J., & Johnson, P. (2013). Modeling and prediction of monetary and non-monetary business values. In D. Gasevic, M. Hatala, H. R. Motahari Nezhad, & M. U. Reichert (Eds.), 17th IEEE International Enterprise Distributed Object Computing Conference, EDOC 2013 (pp. 153-158). (Enterprise Distributed Object Computing Conference). IEEE. https://doi.org/10.1109/EDOC.2013.25

Välja, Margus ; Österlind, Magnus ; Iacob, Maria Eugenia et al. / Modeling and prediction of monetary and non-monetary business values. 17th IEEE International Enterprise Distributed Object Computing Conference, EDOC 2013. editor / D Gasevic ; M. Hatala ; H.R. Motahari Nezhad ; M.U. Reichert. USA : IEEE, 2013. pp. 153-158 (Enterprise Distributed Object Computing Conference).

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author = "Margus V{\"a}lja and Magnus {\"O}sterlind and Iacob, {Maria Eugenia} and {van Sinderen}, {Marten J.} and Pontus Johnson",

note = "10.1109/EDOC.2013.25 ; 17th IEEE International Enterprise Distributed Object Computing Conference, EDOC 2013 ; Conference date: 09-09-2013 Through 13-09-2013",

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Välja, M, Österlind, M, Iacob, ME, van Sinderen, MJ & Johnson, P 2013, Modeling and prediction of monetary and non-monetary business values. in D Gasevic, M Hatala, HR Motahari Nezhad & MU Reichert (eds), 17th IEEE International Enterprise Distributed Object Computing Conference, EDOC 2013. Enterprise Distributed Object Computing Conference, IEEE, USA, pp. 153-158, 17th IEEE International Enterprise Distributed Object Computing Conference, EDOC 2013, Vancouver, Canada, 9/09/13. https://doi.org/10.1109/EDOC.2013.25

Modeling and prediction of monetary and non-monetary business values. / Välja, Margus; Österlind, Magnus; Iacob, Maria Eugenia et al.
17th IEEE International Enterprise Distributed Object Computing Conference, EDOC 2013. ed. / D Gasevic; M. Hatala; H.R. Motahari Nezhad; M.U. Reichert. USA: IEEE, 2013. p. 153-158 (Enterprise Distributed Object Computing Conference).

Research output: Chapter in Book/Report/Conference proceeding › Conference contribution › Academic › peer-review

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Välja M, Österlind M, Iacob ME, van Sinderen MJ, Johnson P. Modeling and prediction of monetary and non-monetary business values. In Gasevic D, Hatala M, Motahari Nezhad HR, Reichert MU, editors, 17th IEEE International Enterprise Distributed Object Computing Conference, EDOC 2013. USA: IEEE. 2013. p. 153-158. (Enterprise Distributed Object Computing Conference). doi: 10.1109/EDOC.2013.25