Introduction

IN TRO DUC

TION INTRODUCTION CHAPTER 1

Every organization that has achieved success has created something of value at some point. Something that brought some improvement to people’s lives.

And an important motto in this theme is to identify things that people need and offer them what they are looking for. An organization cannot do business unless it has something of value to offer its customers. In this manner, we can say that the best organizations in the world are those that create value for people. Josh Kaufman, in his book Criação de valor – Qual o preço da sua ideia (Value Creation – What is the Price of Your Idea), defines a business as a cyclical process that: He still considers that if we remove one of these five factors, we will no longer have a business. And he goes even further. In his view, every business is a collection of five interdependent processes: value creation, marketing, sales, value delivery and finance.

1 Creates and delivers something of value...

2... that people want or need...

3... at a price they are willing to pay...

4... in a way that satisfies the needs and expectations of customers...

5... and generates enough profit to maintain the company’s operations. In this fourth booklet, we will show the possibilities of how to create and add value to family farming products.

PER CEP TION CHAPTER 2

THE PERCEPTION OF VALUE

The perception of value is directly linked to what people want and how much a product or service fulfills the attributes necessary to meet their needs.

Value is not only present in things, but in what the consumer/client perceives as a value-generating attribute. So first of all, it’s important to develop a basic understanding of what people are looking for. Understanding human desires and the impulses that lead to their decisions and actions are extremely important. Taking the logic of consumption, impulses lead to the purchase process. The more an organization connects its product to the impulses that drive its customer to purchase a product or service, the more attractive its offering will be. In a few words, the more a product or service is committed to meeting a need of a particular group of consumers, the greater the chances of success for that organization. The first step would be to understand the needs of these customers. We have already discussed, in booklet 01 of this series, how to perform a survey to identify these needs with the distribution channels. Therefore, it is worth emphasizing that the first step would be to understand the market.

Now we will show you some possibilities of adding value to family farming products.