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Competitive advantage through service differentiation by manufacturing companies

Gebauer, Heiko; Gustafsson, Anders; Witell, Lars
Journal article, Peer reviewed
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URI
http://hdl.handle.net/11250/93504
Date
2011
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Original version
http://dx.doi.org/ 10.1016/j.jbusres.2011.01.015
Abstract
This paper examines the relationship among the complexity of customer needs, customer centricity, innovativeness, service differentiation, and business performance within the context of companies that have made a service transition from pure goods providers to service providers. A survey of 332 manufacturing companies provides the basis for the empirical investigation. One key finding is that a strong emphasis on service differentiation can lead to a manufacturing firm’s strategies for customer centricity being less sensitive to increasingly complex customer needs, which can increase a firm’s payoff for customer centricity. In contrast, the payoff from innovativeness appears to be higher if the firm focuses its resources on either product or service innovation; that is, a dual focus does not work well. This paper discusses the implications of these findings for researchers and managers
Description
This is the authors’ final, accepted and refereed manuscript to the article
Publisher
Elsevier
Journal
Journal of Business Research

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