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The effects of (dynamic) capabilities on the level of servitization, moderated by market dynamics.

Oosterveld, Rick (2020) The effects of (dynamic) capabilities on the level of servitization, moderated by market dynamics.

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Abstract:There is a growing body of literature interested in the success factors that drives companies to servitize their offerings. However, less scientific interest is devoted to the role of dynamic organizational capabilities on the levels of servitization. For instance, Neely (2008) is considered as the only large empirical study with regard to servitization. Many authors have described how to transit to servitization, and what they believe are key factors for success. However, emphasis has been placed on theories rather than empirical evidence. This research attempts to gain new empirical insights with regard to which key factors have an effect on the level of servitization. In this quantitative research, emphasis has been placed on customer capabilities, organizational capabilities, strategy capabilities, dynamic capabilities and market dynamics. An online survey has been conducted to recruit manufacturers in the Netherlands, resulting in 142 participants. This research also provides, a measurement scale for the level of servitization. A decision tree is conducted to measure the different categories of servitization. Analysis has shown that service strategy and long-term based relationships with customers have the strongest effect on the level of servitization. Moreover, interfunctional coordination, customer linking, decentralization and storage data have also a significant effect on the level of servitization. In contrast, responsiveness to customers needs are found not to have an effect on the level of servitization in this research. Subsequently, analysis has shown that dynamic capabilities and market dynamics have no significant effect on the level of servitization. Hence, the core capabilities have an effect on the level of servitization. Based on these results, we draw implications for theory and practice.
Item Type:Essay (Master)
Faculty:BMS: Behavioural, Management and Social Sciences
Subject:85 business administration, organizational science
Programme:Business Administration MSc (60644)
Link to this item:https://purl.utwente.nl/essays/85086
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