Value Creation through Novel Resource Configurations in a Digitally Enabled World

Question 1

Definition resource configuration

Answer 1

It depicts the way in which it orchestrates and connects the resources it utilize

Question 2

what should the design of a resource configuration be based on?

Answer 2

a system view and value creation-centric perspective

Question 3

What is a value creation centric perspective?

Answer 3

views every potential value-creating participant as a value creator as well as a resource provider

Question 4

What does a system based view focus on?

Answer 4

focuses on the resources in the focal firm’s ecosystem that are directly embedded into the focal firm’s resource configuration

Question 5

What does a system based view highlight?

Answer 5

The value drivers that enable value creation and value capture.

Question 6

What does strategic entrepreneurship perspective advocate for?

Answer 6

For firms to simultaneously pursue value creation and value capturing

Question 7

What are the five stages for value creation in a process model?

Answer 7

observing, synthesizing, generating, refining, and implementing a system of interdependent activities with other value-cocreators

Question 8

Definition value cocreator

Answer 8

A resource provider and a value beneficiary

Question 9

Definition value creation process

Answer 9

the process by which valuable resources of all value cocreators are deployed and utilized to address one or more needs of any value cocreator.

Question 10

How can new needs be identified?

Answer 10

by observing and synthesizing the needs of customers and partners, identifying the owners of resources, and selecting the resources to be utilized.

Question 11

What are value creation processes that faciliate the identification of new needs?

Answer 11

Continuous testing and resource crowdsourcing

Question 12

Definition resource crowdsourcing

Answer 12

a mechanism through which a focal firm discovers and accesses underutilized resources at a large scale. This means that they get a small amount of underutilized resource from a large group of resource providors.

Question 13

When is resource crowdsourcing important?

Answer 13

when underutilized resources are scattered in a large group of value cocreators.

Question 14

When can a bridge providor transform into a transaction enabler?

Answer 14

once the focal firm starts to exploit resources on both sides of the market

Question 15

What does a transaction enabler do?

Answer 15

directly connect upstream resources with downstream customers and leverage their information advantage to facilitate transactions.

Question 16

Name two processes to match needs with resoucres

Answer 16

sorting and prospecting

Question 17

Definition sorting

Answer 17

firms developing methods and strategies to categorize both needs and resource such that they can be matched better. The categorization of needs is done based on different value propositions and for resources on the characteristics of the resources.

Question 18

When is sorting important?

Answer 18

when the markets for needs and resources are very fragmented.

Question 19

Definition prospecting

Answer 19

the focal firm predicting the needs for certain resources and the resource controllers’ expectations in order to match them through selective advertising or recommendations. This can be a source of value creation. Information relevance can be determined by the likelihood of leading to a transaction or effective matching.

Question 20

When is prospecting important?

Answer 20

when value cocreators are overwhelmed by information or when they ahve latent needs to be uncovered.

Question 21

Name two processes that can be used to bridge needs and resources

Answer 21

Grafting and streamlining

Question 22

Definition grafting

Answer 22

a process in which a focal firm expriments with new combinations of unconnected resources and needs in order to identify unique complementarities between resources and needs to enhance the value creation. It starts with the resources at hand and searches for the needs of value cocreators such that it enables firms to leverage the resource and create more value.

Question 23

When is grafting important?

Answer 23

when firms have the capabilities to access resources at a faster pace and larger scale.

Question 24

Definition streamlining

Answer 24

the processess in which the focal firm provides or connects addiotnal resources to enable or enrich the unique complementarity they create through bridging needs and resources. It reduces the incompatibilities and uncertainties and it is critical in realizing the full value creation potential.

Question 25

Where does the novelty of a digitally resource configuration come from?

Answer 25

the newness of the needs and resources, the innovative ways through which the matching can be done, and the uniqueness of the complmentarity among all value cocreators that the focal firm bridges and involves in the value creation process.