Value Proposition: a statement of how a business proposes to use its resources to deliver superior value to customers, it is a statement summarizing the customer targets, competitor targets, and the core strategy for differentiation of one's product from the competition.
The value proposition should answer the question:
The company value proposition or value discipline is how it provides superior value to gain competitive advantage. It provides a framework that segments the market into three value disciplines
Each value proposition provides a very different kind of customer value. You will not gain an advantage from being competent in all three because these 3 totally different businesses with competing business models; they run into structural and process conflicts.
Market Leaders dominate their niche because they outperform competitors in one value proposition and are competitive in another. Here are the potential combinations:
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