How to build an experience differentiation strategy for software business: Customer values perspective: Dissertation

This thesis takes a human values perspective on the concept of differentiation. The aim is to understand how the concept applies to experience creation in a software company, and how decisions about experiences can be made. The monograph suggests a values-in-experience differentiation concept, develops a decision-making framework and a method for introducing values into the strategic decision process. A software case-company is used to implement the tool and attest the values perspective for experience creation. The goal of a business strategy is to establish a unique position for the company's offerings in the minds of customers, while maintaining financial results. Historically, uniqueness was achieved by focusing on product and service features. The experience view, however, departs from the historical assumptions about the nature and sources of differentiation. This thesis examines both the assumptions and changes of differentiation by experience. The apparent complexity of experiences requires research approaches of a matching complexity that suits the understanding of the challenges that managers face over the course of the experience creation. The thesis suggests that values provide both a stable platform and a flexible environment to guide the strategy process. The research contrasts the human values perspective with the traditional concept of needs and rational view. It proposes that the consistency and the evolutionary change in values seem to provide grounds for combating the risks in experimentation, formulation and re-configuration of a unique position of company's offerings.