Shared Value Innovation: Linking Competitiveness and Societal Goals in the Context of Digital Transformation

Abstract

The idea of “creating shared value” has become very popular, but shared value creation has also been criticized. This paper may bridge some of the controversies by highlighting the need for innovation to successfully implement shared value programs. The paper develops the new concept of shared value innovation and discusses its building blocks drawing on different innovation types, such as product innovation, process innovation, service innovation, business model innovation, organization innovation, and management innovation. The paper further develops a process model of implementation steps for shared value innovation in the context of digital transformation. Based on an illustrative case study of mobility services, the concept of shared value innovation and its implementation steps are explained. Moreover, implications for academics and managers are discussed, which offer actionable starting points for creating shared value by linking economic performance and societal progress in firms’ core business activities.