ABSTRACT
Most businesses today are confronted with rapid technological change, intensive competition from existing competitors and new entrants, and ever decreasing lifecycles. These conditions have resulted, in many industries, in premature commoditization. In order to preserve their market share, companies often reduce their prices either voluntarily or as a result of insistence by customers exercising their buyer power. The result is declining revenue, margin erosion and business failure. Nevertheless, some companies manage to thrive. These companies identify and use customer value as a strategic tool.
