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This paper aims to attempt to examine the effect of firm-customer exchange characteristics, frequency and specificity, on the likelihood of the firm to generate customer-driven innovation. The authors draw from social capital theory and argue that repetitive and customer-specific exchange improves the trusts between firm and customers, which in turn ease the flows of tacit knowledge from customers to the firm. From the perspective of customer knowledge management, the authors contribute by examining the mechanism by which a firm can acquire knowledge from and about customers. The authors further argue that a firm’s ability to absorb knowledge from customers and turn them into innovation also depends on its internal capability. A firm that consistently upgrades its capacity is more likely to generate customer-driven innovation than those that do not. Also, the authors argue that the joint effect of exchange characteristics and internal capability upgrading can further increase the likelihood of customer-driven innovation. Such a joint force implies the positive moderating effect of internal capability upgrading to the relationship between exchange characteristics and customer-driven innovation.

The authors test the hypotheses on 3,000 firms from six countries in Latin America. They take advantage of the 2017 World Bank Enterprises Survey. This most recent of the survey asks questions on various types of innovation and firm-customers exchange characteristics and other firm-level variables.

The authors find support for our hypotheses that repeated exchange and exchanges tailored to specific customers have a positive effect on customer-driven innovation. Also, they find the support that internal capability upgrading, in the form of investment in product design, marketing and organizational development has a positive effect on customer-driven innovation. The authors also find that investment in product design positively moderates the impact of exchange characteristics on the likelihood of customer-driven innovation.

While past studies focus on strategies to acquire and manage customers’ knowledge, little has been said about how exchange attributes can encourage or discourage innovation? This question is important because various theoretical perspectives may have a different prediction on the effect of firm-customer relationship and innovation. This study attempts to bridge such theoretical tension.

Although the impact of market‐driven learning on new product success in export markets is assumed in the literature, its role is not yet empirically tested due to an absence of the concept operationalization. Develops a conceptual framework of market‐driven learning and new product success in export markets to address these issues. The authors further test the model using data collected from US software companies. The findings indicate that both customer and competitor learning processes exert positive impacts on new product success in foreign markets. The results regarding market environmental factors offer some evidence suggesting correlations between these factors and behavioral activities of market learning. Concludes with a discussion of managerial implications and directions for future research.

Most benchmarking methods are based on comparing financial and operational indicators with that of the leader in the market. Financial and operational indicators may not be sustainable in facing the speed and competitiveness of today's marketplace. The purpose of this paper is to propose a dynamic customer‐driven benchmarking approach that captures changes in customer perceptions and expectations and subsequent changes in service standards set by experienced customers as best practice.

This paper is based on examining the current literature on benchmarking and suggesting a new approach for benchmarking that puts the experienced customer as the standard for benchmarking. The customer‐driven benchmarking approach is one that will ensure that companies are continuously improving and advancing their values to meet the needs of the sophisticated and demanding customers.

The use of customer‐driven benchmarking will not only provide a clear direction and methods for learning from customers by initiating value‐added services that exceed their expectation, but moreover, help to sustain a company's performance and competitiveness in the long‐term.

Benchmarking performance against competitors on the basis of financial and operational indicators may not guarantee a sustainable competitive edge. This paper highlights the importance of customer‐driven benchmarking as a strategic approach for a sustainable market performance, emphasizing the standards set by “experienced customers as best practices”.

This paper explores the most recent contributions to interpreting customer-driven supply chains (CDSCs) under the IMP lens, focusing on the main characteristics that emerged from a review of the relevant literature. The purpose of this paper is to offer a holistic interpretative framework of major topics covered by the CDSC literature, highlighting both some shared issues and emerging elements using the IMP conceptual framework’s ARA (actor bonds, activity links and resource ties) model.

The paper reviewed the literature by searching selected journals using a combination of specific keywords in order to find the most recent contributions on the CDSC theme. The presented analysis allowed an interpretation of the findings through a conceptual framework.

The findings suggest that the ARA model could be a useful method through which to structure an interpretation of the most recent contributions, in both IMP and the general literature, on the discipline. In particular, three streams of research were identified: the customer closeness strategy, relational strategy, and intra-organizational strategy.

These clusters can be deeply analyzed using the major knowledge on CDSC dynamics. By studying these issues in an integrated way, the implications in terms of competition, generalization of results, constraints, problems, and difficulties of the customer-driven approach could be enhanced. Limitations are the restricted period of time and the absence of empirical research.

Each identified cluster presents the tools that have to be improved in order to implement the customer-driven orientation, which increases the performance and brings an added value for the same supply chain. For this reason, an emerging need is to develop studies on the empirical side that consider the implications in terms of an integrated framework among the three issues.

The paper increases the understanding of CDSCs by using conceptual and interpretative tools developed by the IMP literature. The ARA model allows the creation of a conceptual framework that clarifies, in a holistic way, the most important characteristics that have to be developed in order to improve the CDSC perspective. Recommendations and a research agenda for the implementation of the customer-driven view are derived.

Although progress has been made in understanding market‐driven businesses from a theoretical perspective, relatively few empirical studies have addressed the capabilities needed to become market‐driven and the performance advantages accruing to firms possessing these capabilities. One of the barriers faced has been in defining what is meant by the term “market‐driven”. Develops a multi‐dimensional measure useful for assessing the degree to which a firm is market‐driven. Presents evidence that market‐driven business units developed higher levels of six vital marketing capabilities (in the areas of market research, pricing, product development, channels, promotion, and market management) than their less market‐driven rivals and significantly outperformed these rival business units on four measures of organizational performance.

Ambidexterity’s effects on exploration and exploitation have been widely studied in the innovation literature. However, to date, no studies have determined how combining or balancing the two strategic marketing foci may improve new product performance outcomes. This is an important issue in emerging markets, which have considerable potential to introduce new products, given the rising affordability and intense competition between Western and local firms. These challenges compel managers to offer new products and solutions in these markets. However, firms may adopt different strategic marketing foci for new product development. Using Pakistan as an emerging-market context, this paper aims to provide novel insights into how managers can choose the right balance of a customer-driving versus customer-driven strategy to optimise new-product performance.

A multi-industry approach surveyed senior strategy managers (N = 106) of Pakistani businesses.

Using polynomial regression and surface test analyses, the findings showed that balancing the two strategies influenced new-product performance more than either strategy alone. Surprisingly, the imbalance of greater customer-driving over customer-driven strategy or vice versa did not improve new-product performance. Moreover, new-product performance was greater when the level of balance was higher compared to when it was lower.

Grounded in behavioural and strategic adaptation theory, this study extends ambidexterity’s theoretical foundations in marketing by empirically determining the optimal balance of an orientation and performance implication model. The findings can assist emerging market managers in choosing the right balance and combination of the two strategies for better performance of new products.

The supply chain literature highlights chains that are activated by actual or forecasted demand, and has largely overlooked those that are activated by the supply source. This paper aims to position supply driven chains as a distinct class and to develop their properties.

Supply driven examples are given and their structural and behavioral properties are developed. Their properties are compared with those of demand driven chains using Fisher's classification scheme. The paper is conceptual in nature.

Four properties of supply driven chains are advanced. They show that supply driven chains differ significantly from their demand driven counterparts. As example, supply driven chains are prone to a reverse form of the standard bullwhip effect that is associated with demand driven chains.

Investigating supply driven chains opens several research avenues. Further properties and examples can be developed, along with methods to mitigate the reverse bullwhip effect. Research into synergies and boundary issues between supply and demand driven chains will likely yield operational efficiencies overall.

Differentiating between supply and demand driven phenomena helps practitioners design more efficient supply chains. For example, superimposing a demand driven operational structure on a supply driven phenomenon can be disruptive. Also, an efficiently operated supply driven chain may enhance the operations of related demand driven chains.

This paper highlights and develops supply driven supply chains. It extends supply chain theory and practice by providing additional structural characteristics that can be incorporated into supply chain designs.

The purpose of this paper is to explore the topic of customer integration into supply chains. Particular attention is focused on literature concerning customer-driven and customer-centric supply chains. The aim is to provide a deeper understanding of these two approaches, clarify the differences, compare them and provide a conceptual model and research propositions, leading to theoretical and managerial implications.

The paper presents a systematic literature review conducted using a consolidated methodology. The protocol used allows for the identification, analysis, synthesis, reporting and discussion of the results stemming from the literature on customer integration into the supply chain. This analysis enables us to summarize the results in a conceptual framework and introduce new research propositions.

Using the results of the literature review, the authors first systematized the literature on customer-driven supply chain and on customer-centric supply chain in the conceptual framework. For each of the two sets of studies, the authors highlighted three main streams of research concerning customer integration into the supply chain. The authors analyzed three different topics: why customer integration is needed, how customer integration takes place and which intra-organizational issues are necessary to implement customer integration into the supply chain. Second, the authors developed a conceptual framework to confront customer-driven and customer-centric approaches to supply chain management in an evolutionary perspective. The authors thus formulated research propositions aimed at entering in greater depth the management of the shift from the customer-driven to customer-centric supply chain.

The systematic literature analysis developed in the paper contributed to more integrated and comprehensive knowledge of customer integration into the supply chain. The paper identifies and describes the characteristics of different supply chain approaches through the organization and interpretation of academics’ contributions. The paper suggests the need for further research in at least three areas: the study of variables supporting customer-driven or customer-centric approaches, the relevant intra-organizational issues underscoring the customer-centric supply chain and the impact of digitalization on supply chain processes.

The paper outlines the main structural elements that compose the customer-driven and customer-centric supply chains. The results of the systematic analysis of the literature can be used to inform managers about the different levels and approaches for achieving customer integration. These diverse configurations of customer integration imply administrative and organizational considerations. Major issues to be considered when managers want to integrate the customer into the supply chain are identified. In addition, conditions underscoring different options – namely, customer-driven and customer-centric supply chains – are provided.

The originality of this work lies in the systematic review of literature examining customer integration into supply chains, which highlights two main levels of customer integration: customer-driven and customer-centric. The main contribution is the formulation of a conceptual framework and new research propositions from the comparison and merger of these two configurations. The information presented in this paper enhances the literature on recent developments in customer integration, thereby enabling managers to select the most suitable configuration for the supply chain structure.

The purpose of this paper is to extend the literature on market-driven and market-driving management and analyzes the Benetton’s market orientation change from a market-driving to a market-driven orientation. Additionally, this study uses longitudinal data to measure the degree of success of the market-driven orientation.

The study is based on a qualitative case study method and it discusses how Benetton has moved from a market-driving to a market-driven orientation.

The paper analyzes the principal transformations the Benetton Group has gone through to implement a market-driven orientation, including the delocalization of the manufacturing and of trusted suppliers; the downstream integration process; the adoption of a flexible, efficient and responsive logistics; the implementation of a modern information systems infrastructure. Revenues data show that the company has benefited of the new orientation, but only in the short-run. Moreover, the early adoption of the market-driven orientation by competing firms (e.g. Zara) and the economic environment seem to play an influence on the performance of market-driven companies.

The single case study approach may limit the generalizability of the findings. However, this case study is unique and of high importance for managers in different industries.

Although some studies have discussed the benefits of market-driven and market-driving orientations, no study has analysed how companies move from a market-driving to a market-driven orientation. Additionally, existing studies have proved market orientation’s influence on business performance using static measures. This study uses longitudinal data to show the effect of market-driven orientation on a company’s long-term competitive advantage.

A successful implementation of mass customization and customer‐order‐driven production can bring numerous benefits to automakers. However, the transition from mass production to mass customization is difficult. Most of the previous studies focus on mature markets, leaving emerging markets untouched. The purpose of this paper is to investigate the necessity of making the strategic transition to mass customization in an emerging market.

This research is based on an extensive field study. A multi‐method approach (including semi‐structured interviews, document examination and plant tours) was used to collect the data at different levels in five commercial vehicle manufacturers.

The respective advantages and disadvantages of these two manufacturing strategies are analyzed based on the findings and a framework is established. The drivers of the transition to mass customization have been recognized and the obstacles of transition are identified. The specific benefits of a successful mass customization implementation are listed. According to the empirical evidence, this paper concludes that customer‐order‐driven production is a promising direction in a rapidly changing market such as China.

This study makes a contribution in two aspects. First, the evidence of mass customization fills a gap in the empirical literature and the findings of mass production help cross validate the drawbacks reported in other studies. Second, this study presents a transition model to facilitate automakers to analyze the complex phenomena in a systematic way when they embark upon the strategic transition to mass customization.