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Abstract
Purpose: This study investigates how customer value is proposed in the product as a service business models, that implement the principles of the circular economy. More specifically, the purpose of this study is to identify and characterize the manageable components of customer value propositions (CVPs) that reflect a company’s strategic value creation in circular service business models.
Design/Methodology/Approach: This paper adopts the deconstruction approach to systematically decompose the concept of CVPs in the product as a service model. To demonstrate the deconstruction of CVPs, a qualitative multiple case study is conducted in the context of the textile industry.
Findings: A framework for a deconstruction tool for proposing customer value in the product as a service model is suggested. A description of the elements of use, core of value points, elements of service, and core of customer value trade-off is presented as a result of the empirical study.
Originality/Value: This paper integrates frameworks from the circular service business models and CVP literature and contributesto the theoretical conceptualization of customer value and implications of servitization in the context of circularity.
Design/Methodology/Approach: This paper adopts the deconstruction approach to systematically decompose the concept of CVPs in the product as a service model. To demonstrate the deconstruction of CVPs, a qualitative multiple case study is conducted in the context of the textile industry.
Findings: A framework for a deconstruction tool for proposing customer value in the product as a service model is suggested. A description of the elements of use, core of value points, elements of service, and core of customer value trade-off is presented as a result of the empirical study.
Originality/Value: This paper integrates frameworks from the circular service business models and CVP literature and contributesto the theoretical conceptualization of customer value and implications of servitization in the context of circularity.
| Original language | English |
|---|---|
| Title of host publication | Achieving Net-Zero through Servitization |
| Subtitle of host publication | Spring Servitization Conference 2022 9 & 10 May 2022, Florence, Italy |
| Publisher | Aston Business School |
| Pages | 19-27 |
| ISBN (Electronic) | 978-1-85449-805-2 |
| Publication status | Published - 5 Sept 2022 |
| MoE publication type | B3 Non-refereed article in conference proceedings |
| Event | Spring Servitization Conference, SSC 2022: Achieving Net-Zero through Servitization - Florence, Italy Duration: 9 May 2022 → 10 May 2022 |
Conference
| Conference | Spring Servitization Conference, SSC 2022 |
|---|---|
| Country/Territory | Italy |
| City | Florence |
| Period | 9/05/22 → 10/05/22 |
Funding
This study was carried out as part of PaaS Pilots research project, funded by The Finnish Innovation Fund Sitra, and Telaketju2 research project, funded by Business Finland.
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- 1 Finished
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Telaketju 2: Liiketoimintaa tekstiilien kiertotaloudesta - Business from Circularity of Textiles
Järnefelt, V. (Participant), Heikkilä, J. (Participant), Antikainen, M. (Participant), Petänen, P. (Participant), Heikkilä, P. (Manager), Harlin, A. (Participant), Kamppuri, T. (Participant), Lehto, J. (Participant) & Saarimäki, E. (Participant)
1/05/19 → 30/04/21
Project: Business Finland project