Value in procurement is multi-dimensional; it is created when the mix of benefits received (quality, functionality, service, risk reduction, sustainability, etc.) outweighs the total cost incurred across the product’s life-cycle. Classical value models (e.g., Porter’s value framework and total cost of ownership theory) show that buyers judge value on both monetary and non-monetary factors. Hence, a regular purchase (e.g., a smartphone, groceries, or running shoes) is appraised not only on price but also on performance, reliability, delivery convenience, brand assurance, after-sales support, ethical impact, and innovation—each contributing to perceived value.

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