What is described as the value of an item to the user because of the functions it provides?

Use value refers to the worth of an item to the user based on the specific benefits and functions that the item provides. It emphasizes the practical utility and effectiveness of a product in meeting the needs of the user. This concept is crucial in understanding how individuals assess the value of goods and services not solely based on monetary factors but on the functional advantages they offer.

In contrast, other values like cost value typically relate to the monetary expense incurred to acquire an item, exchange value centers on the worth of an item in a transaction or marketplace, and esteem value pertains to the status or prestige associated with owning an item, rather than its functional utility. Therefore, understanding use value is essential in cost management and evaluation, as it directly affects user satisfaction and decision-making in procurement and investments.