Utility

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In the economy, utility value is the actual or potential subjective benefit that the buyer or investor obtains when purchasing goods or services in view of his set goals .

General

The purchase decision is based on a choice between at least two alternatives. If the buyer / investor decides on one of these alternatives, this makes a contribution to the economic or even better individual-psychological achievement of goals, which is referred to as utility value. Utility or usefulness is "the sum of the objective properties of an object that enable it to satisfy any objectively existing human need ". The utility value sometimes represents the realized suitability for the satisfaction of needs . However, it is not possible to measure the utility value of a good with a uniform standard; there are also no clear relationships between this utility value and the exchange value, which can be determined without great difficulty .

There is no clear yardstick because every economic subject pursues individual goals and therefore rates the utility of the same product or service differently (a steak is more useful for the carnivore than for the vegetarian). The purchase decision for private individuals is based on personal goals , for companies within the framework of corporate goals , for states in the form of national goals . If acquired goods do not meet the goals, they have no utility, they are useless. Conversely, the value in use increases the more these goods contribute to the achievement of goals.

Economics

In the value paradox , John Law was the first to describe in 1705 that the utility value of water was significantly higher than its exchange value, whereas the less useful diamonds had a significantly higher exchange value. While the utility value of a consumer good is relevant for the buyer , a speculator measures the value according to how it will be assessed by other buyers in the future. In the long term, the market price of a good cannot be higher than its utility value, because consumers then no longer want to buy it.

Karl Marx criticized 1867 in his main work Das Kapital. Volume I of this paradox of values, because "things whose use is necessary and whose quantity is unlimited, [should] be available for free, and those whose utility is zero and whose rarity is extraordinary should be at an infinitely high price". Marx's statement that the knowledge of goods is a special subject that deals with the utility value of goods was also incorrectly interpreted to mean that utility value is not an economic category at all.

Georg Simmel was the first to point out in 1907 that "money in itself" is nothing, but that people and human behavior are what is meant when talking about money and money use. Money only becomes useful when it serves as an object of exchange when buying goods. For John Maynard Keynes , "money in itself" had no utility value, because it had no material property character.

Private individuals

The utility value for the consumer is the monetary benefit that the customer attaches to the functions , the quality ( product quality , service quality ) and the properties of a product or service. It results from the usage and validity benefit . The purchase decision in favor of a purchase object is made when the subjective utility value of the product is higher than the market price, whereby the utility value surplus must be higher than with a different use of money.

The utility value argument is one of the most objective arguments in a sales pitch. It apparently leaves out any personal preferences , although it should be noted that the selective perception of a customer for certain utility values ​​is in itself one of the most important findings of sales psychology .

Companies

Utility is the numerical expression for the subjective value of an investment in terms of achieving specified goals. There is a benefit here in the acquisition of tangible and intangible goods ( patents , licenses , industrial property rights ). A typical example is the decision about an investment that is carried out within the framework of the company's goals ( investment planning ). Before this decision is made, a benefit analysis should examine the extent to which each investment alternative is suitable. An investment is absolutely beneficial if its utility value is greater than a predetermined limit. An investment property is relatively advantageous if its utility value is greater than that of any other property available for selection.

Utility theories

Utility theories are subjective value theories that define value as the subjective utility of an object for a particular person. The starting point of this subjective explanation is the “usefulness” of a good for Jules Dupuit . He assumed that the usefulness of a good is measured by the maximum of the sacrifice that an economic agent is willing to make in order to obtain this good. The marginal utility theory is a pure utility value theory in that it explains that costs correspond to lost benefits. In order to receive one benefit, one must forego another benefit.

Demarcation

The terms utility value and customer benefit are not identical. The latter is a marketing term that examines customer benefits from the perspective of companies without them knowing the customers' goals.

Individual evidence

  1. ↑ to buy or not to buy or to buy goods or goods .
  2. ↑ Ludwig G. Poth, Gabler Marketing Concepts from A - Z , 1999, p. 296
  3. ^ Deutsche Verlags-Anstalt, Osteuropa Wirtschaft , Volumes 13–15, 1968, p. 283
  4. ^ Günter Petermann, Market Position and Market Behavior of the Consumer , 1963, p. 16
  5. ↑ Jürgen Christmann, Price Formation in the Economy , 1993, p. 5
  6. ^ John Law, Money and Trade Considered , 1705, p. 4
  7. ↑ Carsten Müller, Sustainable Economy , 2015, o. P.
  8. ↑ Jürgen Christmann, Price formation in the economy , 1993, p. 6
  9. ^ Karl Marx, Das Kapital , Volume I, 1867, p. 39
  10. ↑ Georg Simmel, The Philosophy of Money , 1907, p. 29
  11. ^ Albert Bronner, Offer and Project Calculation , 2008, p. 7
  12. ^ Albert Bronner, Offer and Project Calculation , 2008, p. 7
  13. ↑ Burkhard Huch / Wolfgang Behme / Thomas Ohlendorf, Accounting-Oriented Controlling , 1997, p. 147
  14. ↑ Uwe Götze, investment calculation , 2014, p. 196
  15. ↑ Verlag Dr. Th. Gabler, Gabler Wirtschafts Lexikon , Volume 4, 1984, Sp. 504