Updated: Aug 20, 2021

The price which an item would fetch in an open market. Distinction should be made between value in present use and value in alternative use. For instance, a factory building may be worth £500 to a person wishing to use it as a factory but £50,000 to a person wishing to redevelop the land. Value is also determined by various other factors, ranging from sentiment to long-term speculation; so, it is in fact a rather imprecise term.

Reference: The Penguin Business Dictionary, 3rd edt.

Sources & references
Risk disclaimer
James Knight
Editor of Education
James is the Editor of Education for Invezz, where he covers topics from across the financial world, from the stock market, to cryptocurrency, to macroeconomic markets.... read more.