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Value Capture in Disintegrated Value Chains

The Hierarchy Strategy

  • Book
  • © 2015

Overview

  • Study in the field of economics
  • Includes supplementary material: sn.pub/extras

Part of the book series: Innovation und Entrepreneurship (INNOV)

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Table of contents (6 chapters)

Keywords

About this book

Using cooperative game theory, this book shows how bargaining structure affects the distribution of value among the constituent firms of the value chain. Results show that positions in the bargaining structure most conducive to value capture are those where large complementarity gains are realized and split, ideally, among a small number of negotiators. Further, leveraging case studies from the aviation and home appliance industries the author suggests that the bargaining structure can be shaped through by architecture of the value chain and, in turn, through the architecture of the product, and the action of powerful firms to optimize value capture.

Authors and Affiliations

  • Germering, Germany

    Alexander Hoffmann

About the author

Alexander Hoffmann is a researcher in the field of technology and innovation management at the TU München, Germany, and a management consultant.

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