| Peer-Reviewed

Creating a New Strategy-Model: Customer Differentiation and Co-Creation Leading to Sustainable Growth

Received: 21 May 2015    Accepted: 6 June 2015    Published: 23 June 2015
Views:       Downloads:
Abstract

In this review article we elaborate on three important mechanisms in order to create a new (holistic) strategy-model: market orientation, service dominant logic, and co-creation of value. We have reasoned on the central premise that in order to create sustainable business growth in the firm, this firm needs to structure itself in a way that optimises solution selling, customer focus and value co-creation. Employees in all departments of the firm need to have a change of mind-set, from delivering goods towards delivering service proposals, and therefore establishing context to the set strategy. In order to act upon these service innovations, the modifications are dependent on a collection of competences, which the firm needs to continually renew, create, integrate, and transform.

Published in Science Journal of Business and Management (Volume 3, Issue 4)
DOI 10.11648/j.sjbm.20150304.11
Page(s) 95-101
Creative Commons

This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.

Copyright

Copyright © The Author(s), 2024. Published by Science Publishing Group

Keywords

(Holistic) Strategy-Model, Customer Differentiation, Co-Creation

References
[1] Donaldson, L. (1996), The normal science of structural contingency theory in Handbook of organization studies, Clegg, S.R., Hardy, C. & Nord, W.R., Sage: London, pp. 57-76
[2] Bharadwaj, S.G., Varadarajan, R.P. & Fahy, R. (1993), Sustainable competitive advantage in service industries: A conceptual model and research propositions, Journal of Marketing, Vol. 57-10, pp. 83-99
[3] Lusch, R.F., Vargo, S.L. & O’Brien, M. (2007), Competing through service: Insights from service-dominant logic, Journal of Retailing, Vol. 83-1, pp. 5-18
[4] Vargo, S.L. & Lusch, R.F (2004), Evolving to a new dominant logic for Marketing, Journal of Marketing, Vol. 68-1, pp. 1-17
[5] Grönroos, C. (2006), Adopting a service logic for marketing, Marketing Theory, Vol. 6-3, pp. 317-334
[6] Porter, M.E. (1985), Competitive advantage, The Free Press, New York, NY
[7] Slater, S.F. & Narver, J.C. (1992), Superior customer value and business performance: The strong evidence for a market driven culture, Working Paper, Report No. 92-125, Marketing Science Institute, Cambridge MA
[8] Teece, D.J. (2010), Business models, business strategy and innovation, Long Range Planning, Vol. 43, pp. 172-194
[9] Dyer, J.H. & Singh, H. (1998), The relational view: cooperative strategy and sources of international competitive advantage, Academy of Management review, Vol. 23, pp. 660-679
[10] Gulati, R., Nohria, N. & Zaheer, A. (2000), Strategic networks, Strategic Management Journal, Vol21-3, pp. 203-215
[11] Normann, R. (2001), Reframing business: When the map changes the landscape, Wiley, Chichester, New Sussex
[12] Deshpande, R., Farley, J.U. & Webster, F.E. (1993), Corporate culture, customer orientation, and innovativeness in Japanese firms: A quadrad analysis, Journal of Marketing, Vol. 57-1, pp. 23-27
[13] Slater, S.F. & Narver, J.C. (1994), Does competitive environment moderate the market orientation performance relationship?, Journal of Marketing, Vol. 58-1, pp. 46-55
[14] Day, G.S. & Wensley, R. (1988), Assessing advantage: A framework for diagnostic competitive superiority, Journal of Marketing, Vol. 52-4, pp. 1-20
[15] Webb, D., Webster, C. & Krepapa, A. (2000), An exploration of the meaning and outcomes of a customer-defined market orientation, Journal of Business Research, Vol. 48, pp. 101-112
[16] Kohli, A. & Jaworski, B.J. (1990), Market orientation: The construct, research propositions, and managerial implications, Journal of Marketing, Vol. 54-4, pp. 1-18
[17] Shapiro, B.P. (1988), What the hell is market oriented?, Harvard Business Review, Vol. 66-11, pp. 119-125
[18] Zaltman, G., Duncan, R. & Holbek, J. (1973), Innovations and organizations, New York: John Wiley & Sons
[19] Slater, S.F. & Narver, J.C. (1995), Market orientation and the learning organization, Journal of Marketing, Vol. 59-7, pp. 63-74
[20] Narver, J.C. & Slater, S.F. (1990), The effect of a market orientation on business profitability, Journal of Marketing, Vol 54, 4, pp. 20-34
[21] Lukas, B. (1999), Strategic type, market orientation and the balance between adaptability and adaptation, Journal of Business Research, Vol. 45, pp. 147-156
[22] Santos, M., Sanzo, M., Alvarez, L. & Vazquez, R. (2005), Effects of market orientation on business strategic behaviour, Journal of Strategic Marketing, Vol. 13, pp. 17-42
[23] Gounaris, S., Avlonitis, G. & Papastathopoulou, P. (2004), Managing a firm’s behaviour through market orientation development: Some empirical findings, European Journal of Marketing, Vol. 38, pp. 1481-1508
[24] Karmarkar, U. (2004), Will you survive the services revolution?, Harvard Business Review, Vol. 82-6, pp. 100-108
[25] Hunt, S.D. & Morgan, S.R.M. (1995), The comparative advantage theory of competition, Journal of Marketing, Vol. 59-4, pp. 1-15
[26] Lusch, R.F & Vargo, S.L (2006), Service dominant logic as a foundation for a general theory in Service dominant logic of marketing: Dialog, debate and Directions, Armonk, NY, pp. 406-420
[27] Normann, R. & Ramirez, R. (1994), Designing interactive strategy: From value chain to value constellation, John Wiley & Sons, Chichester
[28] Booms, B.H. & Bitner, M.J. (1981), Marketing strategies and organization structures for service firms in Marketing of services, Donnelly, J. & George, W.R., American Marketing Association, Chicago, IL, pp. 51-67
[29] Vargo, S.L. & Lusch, R.F. (2008), Service dominant logic: Continuing the evolution, Journal of the Academy of Marketing Science, Vol. 36-1, pp. 1-10
[30] Sawhney, M. (2006), Going beyond the product: Defining, Designing and Delivering customer solutions in Service dominant logic of marketing: Dialog, debate and Directions, Lusch, R & Vargo, S.L. (2006), Armonk, NY, pp. 365-380
[31] Cova, B. & Salle, R. (2008), Marketing solutions in accordance with the S-D logic: Co-creating value with customer network actors, Industrial Marketing Management, Vol. 37, pp. 270-277
[32] Comet, E., Katz, R., Molloy, R., Schadler, J., Sharma, D. & Tipping, A. (2000), Customer solutions: From pilots to profits, Booz, Allen & Hamilton Viewpoint
[33] Tuli, K.R., Kohli, A.K. & Bharadwaj, S.G. (2007), Rethinking customer solutions: From product bundles to relational processes, Journal of Marketing, Vol. 71-7, pp. 1-17
[34] Burger, P.C. & Cann, C.W. (1995), Post-purchase strategy – A key to successful industrial marketing and customer satisfaction, Industrial Marketing Management, Vol.24, pp. 91-98
[35] Frambach, R., Ward, J., Hutt, M & Reingen, P (1997), Proactive product service strategies – An application in the European Health market, Journal of Marketing, Vol. 72, pp. 1-14
[36] Hawes, J. (1994), To know me is to trust me, Industrial Marketing Management, Vol. 23, pp. 215-219
[37] Vandermerwe, S. (1994), Service network structures for customer-oriented strategies in Marketing strategies for services: Globalization, client-orientation, deregulation, Kostecki, E., Pergamon Press, Oxford
[38] Mathieu, V. (2001), Product Services: From a service supporting the product to a service supporting the client, Journal of Business & Industrial Marketing, Vol. 16-1, pp. 39-58
[39] Matthyssens, P. & Vandenbempt, K. (2008), Moving from basic offerings to value-added solutions: Strategies, barriers, and alignment, Industrial Marketing Management, Vol. 37, pp. 136-328
[40] Davies, A., Brady, T. & Hodbay, M (2006), Charting a path towards integrated solutions, MIT Sloan Management Review, Vol. 47-3, pp. 39-48
[41] Johansson, J.E., Krishnamurthy, C. & Schlissberg, H.E. (2003), Solving the solutions problem, McKinsey Quarterly, Vol. 3, pp. 116-125
[42] Salonen, A. (2011), Service transition strategies of industrial manufacturers, Industrial Marketing Management, Vol. 40, pp. 683-690
[43] Bryan, L.L. & Joyce, C. (2005), The 21st-century Organization, The McKinsey Quarterly, No.3, pp. 20-29
[44] Foppen, J.W. (2011), Clusters and the new economics of competition, leadership, innovation, entrepreneurship, public-private ventures, Lecture Strategic HRM, Zuyd University, Netherlands.
[45] Kim, W.C & Mauborgne, R. (2005), Blue Ocean Strategy, Harvard Business School Press, MA
Cite This Article
  • APA Style

    Roos, R., Stoffers, J. (2015). Creating a New Strategy-Model: Customer Differentiation and Co-Creation Leading to Sustainable Growth. Science Journal of Business and Management, 3(4), 95-101. https://doi.org/10.11648/j.sjbm.20150304.11

    Copy | Download

    ACS Style

    Roos; R.; Stoffers; J. Creating a New Strategy-Model: Customer Differentiation and Co-Creation Leading to Sustainable Growth. Sci. J. Bus. Manag. 2015, 3(4), 95-101. doi: 10.11648/j.sjbm.20150304.11

    Copy | Download

    AMA Style

    Roos, R., Stoffers, J. Creating a New Strategy-Model: Customer Differentiation and Co-Creation Leading to Sustainable Growth. Sci J Bus Manag. 2015;3(4):95-101. doi: 10.11648/j.sjbm.20150304.11

    Copy | Download

  • @article{10.11648/j.sjbm.20150304.11,
      author = {Roos and R. and Stoffers and J.},
      title = {Creating a New Strategy-Model: Customer Differentiation and Co-Creation Leading to Sustainable Growth},
      journal = {Science Journal of Business and Management},
      volume = {3},
      number = {4},
      pages = {95-101},
      doi = {10.11648/j.sjbm.20150304.11},
      url = {https://doi.org/10.11648/j.sjbm.20150304.11},
      eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.sjbm.20150304.11},
      abstract = {In this review article we elaborate on three important mechanisms in order to create a new (holistic) strategy-model: market orientation, service dominant logic, and co-creation of value. We have reasoned on the central premise that in order to create sustainable business growth in the firm, this firm needs to structure itself in a way that optimises solution selling, customer focus and value co-creation. Employees in all departments of the firm need to have a change of mind-set, from delivering goods towards delivering service proposals, and therefore establishing context to the set strategy. In order to act upon these service innovations, the modifications are dependent on a collection of competences, which the firm needs to continually renew, create, integrate, and transform.},
     year = {2015}
    }
    

    Copy | Download

  • TY  - JOUR
    T1  - Creating a New Strategy-Model: Customer Differentiation and Co-Creation Leading to Sustainable Growth
    AU  - Roos
    AU  - R.
    AU  - Stoffers
    AU  - J.
    Y1  - 2015/06/23
    PY  - 2015
    N1  - https://doi.org/10.11648/j.sjbm.20150304.11
    DO  - 10.11648/j.sjbm.20150304.11
    T2  - Science Journal of Business and Management
    JF  - Science Journal of Business and Management
    JO  - Science Journal of Business and Management
    SP  - 95
    EP  - 101
    PB  - Science Publishing Group
    SN  - 2331-0634
    UR  - https://doi.org/10.11648/j.sjbm.20150304.11
    AB  - In this review article we elaborate on three important mechanisms in order to create a new (holistic) strategy-model: market orientation, service dominant logic, and co-creation of value. We have reasoned on the central premise that in order to create sustainable business growth in the firm, this firm needs to structure itself in a way that optimises solution selling, customer focus and value co-creation. Employees in all departments of the firm need to have a change of mind-set, from delivering goods towards delivering service proposals, and therefore establishing context to the set strategy. In order to act upon these service innovations, the modifications are dependent on a collection of competences, which the firm needs to continually renew, create, integrate, and transform.
    VL  - 3
    IS  - 4
    ER  - 

    Copy | Download

Author Information
  • Sections