Potential value

See also: Potentiality and actuality and OTHER TOPIC PAGE

Potential Value is a concept in marketing and economics. Potential value includes customer investment and products potential value. These are all related to the market and it is another estimated method. Market potential value is important to estimate income and how much money could potentially be spent by customer in the terms. The potential value of a production can reflect how its market potential. In order to determine the market potential of a product, it is necessary to consider the market intensity and size as well as competition, profitability and potential customer. The potential value is a reflection of the future value of the product. Therefore, whether it is productivity, customers or technology are important factors in creating potential value. Compared with real value, real value can be measured at this time, but potential value needs to be presented through time or through other aspects.

Employment

productivity

Productivity and employment data since 1947

The employment issue is an important part of economic development. The potential value of employment is reflected in productivity, which drives the economic growth of a country. In China of past 20 years, employment achieved major progress. This occurred in the face of accelerating of labor force growth. Productivity is the sum of individual labor output. If more people are hired to work, productivity and workload output will be increased substantially. The potential value in the embodiment of employment and productivity is rapid development of economy. A good job can lead to better employee benefitsor welfareand higher wages. It is for people who have different potential values ​​and can bring more value to the company. For example, they have a high degree of education or more social experience or resume. Therefore, the potential value of the labor force is the economic development that is driven by the productivity provided by society. Stability economic is long-term development goals. If full employment has been achieved, it shows the potential value of the economic stabilityof the realization.

In terms of hiring scientists to research and develop various scientific and technological projects, the improvement in science and technology can indeed drive the economic development of a country and improve its international competitiveness. According to the employability and labor contract, the influence of scientific personnel turnover on project profitability and research employment can be directly analyzed. This has a potential impact on overall employment and productivity. In recent years, employment becomes a strong issue, so does the value people can create. Because they are rich in advanced education and have much experience in every post. In connecting enterprises and employees, their existing relationship can create common potential value. Employees create value for enterprises and enterprises increase GDP for the country and society, which is the starting point of circular benefits. So that's the potential value and therefore the productivity of the society will be greatly improved. Productivity is one of the important factors to promote economic development. People need to study science and technology to improve production efficiency. Therefore, the value of productivity is reflected in economic development, and science and technology are reflected in productivity.

Impact of customer

Customer potential value is another way to measure customers. The price of a product is one of the ways to reflect its value. However, whether customers will buy depends on the price of the product, the potential value of the product has for the customer in the future and purchasing power of the customers. Potential value of a customer refers to the profitability of purchasing products or service from the supplier. Potential value is computed as the total profit margin on all purchases. Moreover, the customer potential value can be reflected through the income of customer, that whether they are able to afford products and the maximum profit this product can bring to customer, not only for now but also in the further. The potential value of a commodity is the benefit it creates. The purchasing potential power of consumers in the future is predicted by the number of products the customer is currently purchasing and the current potential purchasing power. This is to predict the potential of products in an unstable market based on the potential value of customer including consumption levels and income.

Calculate customer potential value Using the Probit method calculate the multi-product model of customer potential value. The first analysis contribute to perform an ex-post segmentation of customers. This will come a conclusion about relationship between company and customer so that help company to improve management policy and strategies. In the past, many company do not pay attention the proposed drivers of customer potential value in a multi-services retailer. We use the panel data of a Spanish bank to achieve these objectives. The result is that a set of behavior variable influence the products of different bank and identify those customer potential value higher or lower by calculation of customer potential value.

In recent years, the raising number of industries have become increasingly competitive. Getting new customers is harder and more expensive than ever. To get the maximum profit in the long time, company should exert new customer as well as retain existing customers and add the customer potential value. This is happening in the insurance industry. In recent years, a lot of company concentrate on getting more profit. Therefore, it is became more important to determine customer preference and needs when making company marketing strategies. Company should explore and profile purchasing behavior of customer in the past to achieve this goal and mine out their further needs and wants.

Technology

Information technology and technology development are closely related. The potential value of technological development is to promote economic development and social progress.

Responding to the potential value of things through IT value, the most important to choose whether to invest that depends on the potential value of the project. Technology is one of the most important factors in creating potential value. IT technology is one of the components of technological development. IT value is used in various areas to reflect the potential value of things and measure the potential value of company through IT value in technology to help companies realize value. Though value trajectories and value shifts influence companies to realize potential value. Hence, validating the potential value of technology can help to realize the value of IT investments by helping to achieve an analysis of corporate values ​​and IT value. Because the potential value of the high-tech industry has great potential for future growth, the uncertainties associated with any company in the technology industry in this volatile market. These companies rely on future unknown developments. For example, the value of a biotechnology company may depend on the success or failure of a medical machine. The uncertainty of this kind of investment has caused high costs for the investment in the technology industry. However, with the rapid development of technology, the potential value can produce is unlimited in the future of science and technology.

Success in early business models is about creating heuristic logic. Link technological potential with the realization of economic value. Explore the potential value of technology from a business model. Technology is the biggest economic product of the century and the driving force forward. In the business to develop technology and technology, but also from the creation of technology to obtain economic value. This is the potential economic and social value of technology. This can also promote the development of the whole society and human progress.

Analyze the potential impact of technological progress through environmental issues. Solid waste management is an important issue as a by-product of sustained economic growth and development. It is continually deteriorating and digesting this nature. The proportion of plastic and rubber in waste is increasing and can only be consumed through technological challenges, but it is still a global challenge. Therefore, the research and development of science and technology have a potential impact on the ecological balance of the whole nature.

Amount of investors believe that the growth of technology industries and the high-risk nature of the market has raised questions about the wealth created in high-tech acquisitions and whether there is great potential for value creation. The results show that investments in high technology, whether in cash or stocks, have a positive outperformance for investors. Through technological progress, job creation and productivity increases. High-tech companies have become economic leaders.

Creation Value

The growth and creation of value is the main core content. Valuable products can bring supply and demand. The greater the potential value cause the higher the demand. The creation and meaning of value is rapidly shifting from a product and business-centric perspective to a personalized consumer experience. For consumers, the value that products can create is the purpose of their consumption. Products are linked with businesses and the interaction between businesses and consumers is becoming the center of value creation and value extraction. The understanding of communication, acquisition, transparency and risk-benefit are at the heart of the next value creation experiment. Define value creation by using value and exchange value. Therefore, value creation varies though individual, organizational or social creation. Value creation is the creation of use value by customers, but co-creation is the interaction between customers and companies. There may be valuable co-creation in all aspects. Value creation can be direct or indirect to use value that is the embodiment of value creation. Moreover, it is also the important role of the potential value of products or services in value creation.

The service-led (S-D) logic of marketing has been developed by Vargo and Lusch as a comprehensive and deep foundation. This logic highlights the potential value generated and created when customers consume or use products, rather than the output and manufacturing of products. S-D logic attributes the importance of the value creation process to the customer as a co-creator of value. Only customers can create a certain effective value in social development. And the potential value lies in the relationship between the company and the customer. This is a mutually beneficial and win-win community. The focus is on how suppliers find co-creation of management value and how to maintain relationships with customers. The co-creation of value involves the supplier's superior value proposition, the value determined when the customer consumes or receives the service. With the co-creation and exchange of management value, the company will seek to maximize profits and customers will be provided with the most ideal services and products.

In recent years, values have been shown to promote our understanding of business relationships. Providing customers with superior and high-quality value is critical to creating and maintaining long-term customers. Value creation and sharing can be seen as the raison of customer-supplier relationships. The underlying value is mutual influence and mutual benefit.

External link

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