Analyzing Information to Build Value Propositions

An error occurred trying to load this video.

Try refreshing the page, or contact customer support.

Coming up next: Stakeholder Management: Definition & Importance

You're on a roll. Keep up the good work!

Take Quiz Watch Next Lesson
Your next lesson will play in 10 seconds
  • 0:00 What Is a Value Proposition?
  • 1:06 4 Steps for Value Propositions
  • 2:33 Lesson Summary
Save Save Save

Want to watch this again later?

Log in or sign up to add this lesson to a Custom Course.

Log in or Sign up

Speed Speed Audio mode
Lesson Transcript
Instructor: Saranya Ramachandran

Saranya has a Bachelors in Science focused on Electronics and Telecommunication and a Masters in Business Administration. She has 8 years of Project Management Experience and is PMP Certified.

A value proposition describes why a business exists , how it serves its customers and how they are a better choice when compared to their competitors. The lesson describes how to create a value proposition by analyzing information.

What is a Value Proposition?

Beth created a new business venture and named it Globex. She wanted to provide marketing services to internet-based startups. Based on her research, she realized there will be a surge in internet-based startups who would need marketing services. She contacted a business mentor to get her idea off the ground. The business mentor suggested she get her value proposition narrowed down.

A value proposition describes in simple terms why the business was created. Some critical questions would need to be answered prior to creating a value proposition. Some of these questions include:

  • Who are the target customers?
  • What unique value are we providing to these target customers?
  • Who is the competition in the market, and how are we better placed to serve these target customers?

Beth knows who her target customers are. However, she might need to narrow down the other two questions as to what unique value she is providing to these target customers and how she is better placed than her competitors.

A clear value proposition sometimes becomes an indicator of the success of the business.

4 Steps for Value Proposition

Beth started reading about value proposition and realized that it would help her market the business and her client's business much better. She sat down to work through the 4 steps of creating a value proposition.

To unlock this lesson you must be a Member.
Create your account

Register to view this lesson

Are you a student or a teacher?

Unlock Your Education

See for yourself why 30 million people use

Become a member and start learning now.
Become a Member  Back
What teachers are saying about
Try it risk-free for 30 days

Earning College Credit

Did you know… We have over 200 college courses that prepare you to earn credit by exam that is accepted by over 1,500 colleges and universities. You can test out of the first two years of college and save thousands off your degree. Anyone can earn credit-by-exam regardless of age or education level.

To learn more, visit our Earning Credit Page

Transferring credit to the school of your choice

Not sure what college you want to attend yet? has thousands of articles about every imaginable degree, area of study and career path that can help you find the school that's right for you.

Create an account to start this course today
Try it risk-free for 30 days!
Create an account