European Management Journal 

Abstract: Summary The creation of value is the core purpose and central process of economic exchange. Traditional models of value creation focus on the firm’s output and price. We present an alternative perspective, one representing the intersection of two growing streams of thought, service science and service-dominant (S-D) logic. We take the view that (1) service, the application of competences (such as knowledge and skills) by one party for the benefit of another, is the underlying basis of exchange; (2) the proper unit of analysis for service-for-service exchange is the service system, which is a configuration of resources (including people, information, and technology) connected to other systems by value propositions; and (3) service science is the study of service systems and of the co-creation of value within complex configurations of resources. We argue that value is fundamentally derived and determined in use – the integration and application of resources in a specific context – rather than in exchange – embedded in firm output and captured by price. Service systems interact through mutual service exchange relationships, improving the adaptability and survivability of all service systems engaged in exchange, by allowing integration of resources that are mutually beneficial. This argument has implications for advancing service science by identifying research questions regarding configurations and processes of value co-creation and measurements of value-in-use, and by developing its ties with economics and other service-oriented disciplines.

Abstract: More and more corporations throughout the world are adding value to their core corporate offerings through services. The trend is pervading almost all industries, is customer demand-driven, and perceived by corporations as sharpening their competitive edges. Modern corporations are increasingly offering fuller market packages or “bundles” of customer-focussed combinations of goods, services, support, self-service, and knowledge. But services are beginning to dominate. This movement is termed the “servitization of business” by authors Sandra Vandermerwe and Juan Rada, and is clearly a powerful new feature of total market strategy being adopted by the best companies. It is leading to new relationships between them and their customers. Giving many real-life examples, the authors assess the main motives driving corporations to servitization, and point out that its cumulative effects are changing the competitive dynamics in which managers will have to operate. The special challenge for top managers is how to blend services into the overall strategies of the company.

Abstract: On the Internet, electronic tribes structured around consumer interests have been growing rapidly. To be effective in this new environment, managers must consider the strategic implications of the existence of different types of both virtual community and community participation. Contrasted with database-driven relationship marketing, marketers seeking success with consumers in virtual communities should consider that they: (1) are more active and discerning; (2) are less accessible to one-on-one processes, and (3) provide a wealth of valuable cultural information. Strategies for effectively targeting more desirable types of virtual communities and types of community members include: interaction-based segmentation, fragmentation-based segmentation, co-opting communities, paying-for-attention, and building networks by giving product away.

Abstract: Nowadays the experience factor plays an increasingly important role in determining the success of a company’s offering. The literature on Customer Experience is growing fast and the debate among scholars and practitioners is fervent. While many studies explore such theme from a theoretical viewpoint, tools aimed at supporting marketing managers in devising the right stimuli to support an excellent Customer Experience are still scarce. In this perspective, this study sheds some light on the concept of Customer Experience, and on how the right environment and setting for the desired Customer Experience should be created in such a way as to contribute to the value creation for customers and the company itself. Drawing from the results of a survey submitted to several groups of customers, this paper attempts to understand the specific role of different experiential features in the success achieved by some well-known products. Following the empirical investigation, this work also suggests an interpretative model to support the marketing manager in generating the proper stimuli to activate the various components of the Customer Experience.

Abstract: Although there has been an explosive interest in an intellectual capital and a thirst for information on how it might be managed, there has been little written to describe or define the concept. This article provides background and definition to the notion of intellectual capital and describes where and how it fits into the ‘knowledge company’. The article is written for theoreticians and practitioners alike. It is intended to provide an overview of intellectual capital, where it fits into the ‘knowledge firm’, what the component elements of it are, and what might be done to manage them. The article defines intellectual capital as well as its relationship to other elements of a knowledge company. The terms and definitions presented in this article are drawn from the experience of eight major international companies all of whom are actively managing their intellectual capital. The component elements of intellectual capital are identified, defined, and discussed. The management activities used in each of the component areas are described as are some of the techniques utilized by practitioners. Finally, there is a review of the actual practice of several major knowledge companies and how they manage their intellectual capital.