Describe briefly why a literature review is of value.

October 16, 2019


Describe briefly why a literature review is of value.



The literature review identifies and explains the core topics concerning value creation and related ideas. The purpose is to stimulate research into the theory, practice, and social consequences of value creation in a stakeholder management framework.
The purpose of the thesis is to propose a comprehensive literature review of past studies on value creation and value appropriation, with focus on the critical understandings of key factors impacting the two. A literature review provides critical understandings from the paradox on strategic choice between value creation and value appropriation to key factors influencing the mechanism of creating and appropriating values.
By reviewing 27 articles, this thesis concludes five top findings. First, value creation and  value appropriation are closely related to innovation, which has an important influence on value creation and appropriation decisions. Second, the stock market prefers value appropriation, with industry and firm characteristics impacting strategic emphasis on creation or appropriation. Third, a firm’s decision on research and development influences value creation and appropriation. Fourth, marketing activities influence the firm's value and stock performance through value appropriation. Finally, competition within an industry determines a firm's decision on value appropriation.
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