A stakeholder perspective of the value proposition concept

Purpose The value proposition concept and the stakeholder perspective have received relatively little attention within Service‐Dominant (S‐D) logic. This paper sets out to explore value propositions in the context of S‐D logic, within the multiple stakeholder domains that form part of a marketing system. Its purpose is to identify how use of the value proposition concept, in this broader context, provides new insight into value creation within a value network. Design/methodology/approach This paper explores the development of value propositions in key stakeholder market domains. A five‐step process is developed for identifying key stakeholders and co‐creating value propositions for them within a marketing system. Findings Value propositions have a key role in co‐creation of value between stakeholders. The development of value propositions in multiple stakeholder domains can provide an important mechanism for aligning value within a marketing system. Practical implications Stakeholder value propositions provide enhanced opportunities for value co‐creation and can assist managers in aligning value and stabilizing relationships within an organization's value network. Originality/value This paper considers a broader view of value through creation of value propositions for key stakeholders. An iterative framework is proposed that couples the stakeholder concept and value co‐creation.