Where a value chain is a straight line inside one firm, a value network is a web that crosses firm boundaries. Value flows in multiple directions: tangible goods and services, and intangible exchanges such as knowledge, trust, and reputation. Each node both gives and receives.
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The lens suits businesses whose worth depends on relationships and collaboration, including platforms, professional services, and ecosystems. Mapping the network exposes the connections that matter, the roles each party plays, and where the firm should strengthen or reshape its ties.