How do different organizational functions contribute to customer value proposition development

Keränen, J, Kelly, S and Johnston, P ORCID: https://orcid.org/0000-0003-3034-4341, 2025. How do different organizational functions contribute to customer value proposition development. Industrial Marketing Management, 131, pp. 256-268. ISSN 0019-8501

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Abstract

Different organizational functions contribute unique insights into customer value proposition development (CVPD). However, current research has predominantly focused on exploring how firms can co-create value propositions with external stakeholders, such as customers and broader network actors, while paying less attention to the contributions of internal stakeholders. To address this gap, this study explores how different organizational functions drive or hinder CVPD. By adopting a critical realist approach and qualitative research design, we draw empirical insights from interviews with 24 senior managers across marketing, sales, R&D, and product management functions in a wide range of firms in different industries. Our findings reveal the unique contributions and expertise that marketing, sales, R&D, and product management bring to CVPD. In addition, we also shed light on the perceived frictions that each function might cause in the cross-functional collaboration, thus hindering effective CVPD. Overall, this study advances contemporary value proposition research by offering a functional-level analysis and demonstrating that CVPD is not solely a top-down organizational or strategic activity but also a bottom-up and cross-functional process where the contributions of different functions are needed to create a customer value proposition that resonates with customers and other stakeholders.

Item Type:	Journal article
Publication Title:	Industrial Marketing Management
Creators:	Keränen, J., Kelly, S. and Johnston, P.
Publisher:	Elsevier
Date:	November 2025
Volume:	131
ISSN:	0019-8501
Identifiers:	Number Type 10.1016/j.indmarman.2025.09.008 DOI S001985012500135X Publisher Item Identifier 2510243 Other
Rights:	This is an open access article under the CC BY license (http://creativecommons.org/licenses/by/4.0/).
Divisions:	Schools > Nottingham Business School
Record created by:	Laura Borcherds
Date Added:	14 Nov 2025 16:46
Last Modified:	26 Nov 2025 10:14
URI:	https://irep.ntu.ac.uk/id/eprint/54744

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