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Providing customers with value is often not enough for a company to operate profitably. While ensuring that a product or service offers value to users and customers, there must be a conscious plan to capture a portion of that value. This is called monetization (turning value into money) and is often sudden and destructive of value, as when managers employ short-term tactics to meet a budget shortfall. Smarter monetization strategies include ways of voluntarily extracting value though brand management or creating a market for liquidating inventories. This will allow managers to meet budgets without compromising company value.
Journal of Business Strategy – Emerald Publishing
Published: Aug 1, 2004
Keywords: Pricing; Management strategy; Marketing; Budgets; Value analysis
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