What Is a Value Network?

A value network is a set of connections between organizations and/or individuals interacting with each other to benefit the entire group. A value network allows members to buy and sell products as well as share information. These networks can be visualized with a simple mapping tool showing nodes (members) and connectors (relationships).

How a Value Network Works

In business and commerce, value networks are an example of an economic ecosystem. Each member relies on one another to foster growth and increase value. Value network members can consist of external members (e.g., customers) or internal members, such as research and development teams.

Value networks enhance innovation, social welfare, the environment, as well as many other areas. Weakness in one node can affect the entire network. For example, if a development team is weak, the production team has a harder time creating the product, which can leave a buyer waiting for their shipment.

The advantage

Technological Value Network

The advantage a value network provides comes from the way a business or individual applies the resources, influence, and insight of others to whom they are connected. A startup, for example, may look to its external connections, such as its investors and mentors, to provide experienced guidance on how to approach the development and growth of the business.
While many founders have a deep understanding of the product or service they develop, bringing that service to market, finding customers, and scaling up the business may be unfamiliar to them. To make up for this shortcoming, they may seek the advice of trusted stakeholders with experience on such matters, which is considered an intangible benefit of their relationship. They might also look to groups that specialize in assisting startups, such as incubators and accelerators, to increase their exposure to potential mentors and investors.

Case of success

Binit Value Network is an ecosystem of ventures aimed at harnessing the potential of digital transformation to create integrated technology-based business networks.

Through deep and broad technology expertise, and an agile business development model, Binit Value Network aspire to manage a valuable and diverse strategic network of tech-enabled companies throughout the world.


Key takeaways

Value networks are connections between individuals or individuals and corporations in which their interactions benefit the group.

The primary advantage includes the way a business or individual applies the resources, influence, and insight of their network connections.