Servitization in global business-to-business distribution

The central activities of manufacturers

Taru Hakanen, Nina Helander, Katri Valkokari

    Research output: Contribution to journalArticleScientificpeer-review

    13 Citations (Scopus)

    Abstract

    Manufacturers' servitization development is a prevalent trend in the current business world. Companies then aim to increase customer closeness and complement product offerings with services. However, extant literature on distribution and marketing channels literature remains limited in terms of the implications of servitization for global business-to-business distribution. Therefore, this qualitative multiple case study identifies the central activities of servitizing manufacturers in global distribution. The study concludes with the following research propositions: Servitizing manufacturers develop global service portfolios and customize offerings according to local customer characteristics; build global operation models and adjust local service processes; ensure global brand coherency and design the customer experience according to local customer expectations; and create global value propositions and enhance local value co-creation with business customers. The study outlines managerial implications in terms of organizing global distribution. It also discusses new knowledge sharing and capability needs regarding solution sales, service provision and customer relationship management.

    Original languageEnglish
    Pages (from-to)167-178
    Number of pages12
    JournalIndustrial Marketing Management
    Volume63
    DOIs
    Publication statusPublished - 1 May 2017
    MoE publication typeA1 Journal article-refereed

    Fingerprint

    Business to business
    Service economy
    Global business
    Customer relationship management
    Global operations
    Marketing channels
    Organizing
    Service process
    Global brands
    Knowledge sharing
    Value co-creation
    Value proposition
    Customer experience
    Closeness
    Multiple case study
    Customer expectations
    Service provision
    Distribution channels

    Keywords

    • Business-to-business
    • Distribution channels
    • Global distribution
    • Manufacturer
    • Marketing channels
    • Servitization

    Cite this

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    abstract = "Manufacturers' servitization development is a prevalent trend in the current business world. Companies then aim to increase customer closeness and complement product offerings with services. However, extant literature on distribution and marketing channels literature remains limited in terms of the implications of servitization for global business-to-business distribution. Therefore, this qualitative multiple case study identifies the central activities of servitizing manufacturers in global distribution. The study concludes with the following research propositions: Servitizing manufacturers develop global service portfolios and customize offerings according to local customer characteristics; build global operation models and adjust local service processes; ensure global brand coherency and design the customer experience according to local customer expectations; and create global value propositions and enhance local value co-creation with business customers. The study outlines managerial implications in terms of organizing global distribution. It also discusses new knowledge sharing and capability needs regarding solution sales, service provision and customer relationship management.",
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    Servitization in global business-to-business distribution : The central activities of manufacturers. / Hakanen, Taru; Helander, Nina; Valkokari, Katri.

    In: Industrial Marketing Management, Vol. 63, 01.05.2017, p. 167-178.

    Research output: Contribution to journalArticleScientificpeer-review

    TY - JOUR

    T1 - Servitization in global business-to-business distribution

    T2 - The central activities of manufacturers

    AU - Hakanen, Taru

    AU - Helander, Nina

    AU - Valkokari, Katri

    PY - 2017/5/1

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    KW - Manufacturer

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    KW - Servitization

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