alternative2. how well the Stakeholder does its Stakeholder-Functions.
alternative3. how well the Stakeholder-Functions perform.
Each alternative is really the same, but 2 & 3 are more precise.
Stakeholder-Values describe how well the Stakeholders does what they do as they core business.
Stakeholder-Values exist without the products we are building and using.
Stakeholder-Values should practically never be explaining how well a Product works.
A Stakeholder would normally have their Stakeholder-Values, irrespective of the Product you are developing. It relates to how well they do, or their business do.
Your Product, with its Product-Values (e.g. Usability), can become the Solutions to satisfy a Stakeholder-Value.
Illustration: a Stakeholder with arrows representing how well (Stakeholder-Value) the Stakeholder does her Function (Job, Hobby, Life). She may or may not use a Product to help her do what she does so well.
Scale: average time spent, per sale, doing paperwork related activities.
Meter: look it up in the time management tool.
Past [this year] 2 hours.
Goal [next year] 15 minutes.
see Scale db for an extensive list of examples.
It can be difficult to determine if a Value or Function is at the Stakeholder Level or the Product Level. Sometimes the Scale you use might even be the same or similar on both levels. What you have to ask is if the value is there without your systems (products/services).
As an example for a shipping port
User-friendliness. The Stakeholders surly wants some of the ports' systems to be User-friendly, but it is the System that is User-friendly to the users. There is no User-friendliness without the System (Product). It is an interaction between the Systems and the Users. This is therefore a Product-Value.
On the Stakeholder side, some Stakeholders want to be efficient at loading cargo. They where loading cargo Before any IT systems, and they wanted to be efficient then too. I'm guessing that at a Port, many of the Stakeholder Values are related to Effectiveness and Efficiency as well as Safety, Accuracy, Traceability, Security, Profitability. In addition they probably have some human needs related values, like job security, training etc. This is all at the Stakeholder Level.