Creating shared value (CSV) is a business concept first introduced in Harvard Business Review article Strategy & Society: The Link between Competitive Advantage and Corporate Social Responsibility.
It always depends on the industry. While in some industries, it is relatively "easy" to create shared value, in others it is really challenging. Kramer and Porter provide some nice examples in their articles. I think one key to sustainably create shared value is to enable so far excluded/disintegrated/poor/.... groups of individuals to participate in society and make their own living. Business models that achieve such goal mostly create shared value.
However, shared value creation comes with some requiremens. As all social enterprises, it requires empahty and compassion from the entrepreneurs. At the same time, as all commercial entreprises, it requires capabilities and experience to sustainably run a business. Only in case both requirements are fulfilled is long term shared value creation likely.
Through innovation and efficiency in the sense of offering value at lower/ better social cost.
so, simply integrating consideration of social impact/ cost into innovation and value offering.
Three factors affect on shared value: business assets, business opportunities, and social needs.Companies can create shared values in three distinct ways:
1) Revision in products and markets 2) Redefining efficiency in the value chain & 3)Development of local industrial clusters ...
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