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This study aims to explain the effects of different types of innovations on organizational performance in terms of firms’ external effectiveness and internal efficiency. The study examines the interrelationship of technical and nontechnical innovations in complex services and the mediating effect of customer participation on the relationship between innovation type and organizational performance.

The study draws on a neo-Schumpeterian model for innovation to examine the complex service setting of healthcare provision. Data from Statistics Sweden, containing 38 hospitals and 242 primary care units in Sweden, provided the study's results.

The findings show the importance of combining different types of innovations in complex services, demonstrating a mediating effect of nontechnical innovation on both the relationship between technical innovations and external effectiveness and internal efficiency. Moreover, the results show that customer participation has a positive mediating effect for technical innovation and nontechnical innovation on external effectiveness. However, there is no such significant effect on internal efficiency.

The findings are based on self-assessment data, which has inherent limitations. The innovation data used were cross-sectional, which may lack reliability (although self-assessed data counter this risk to some extent).

Managers should pursue both technical and nontechnical innovations for gains in external effectiveness and internal efficiency. However, complex services call for technical innovations to be accompanied by nontechnical innovations to support positive effects. The results cause a dilemma for managing customer participation in complex services. As the results show customer participation resulting in external effectiveness, they also fail to establish an effect on internal efficiency.

The primary contribution is to add to the knowledge of different types of innovation in complex services by demonstrating their interdependent effects on both external effectiveness and internal efficiency. Furthermore, the study tests and advances the mediating effect of customer participation in complex services on organizational performance.

With the increasing importance of technology in hospitality and tourism, technology-driven service innovation has been a salient topic discussed from both customers’ and suppliers’ perspectives. However, there has been a lack of research that provides an overview of research on technology-driven service innovation. The purpose of this study is to review current discussions on technology-driven service innovation and provide directions for future studies in the hospitality and tourism literature.

A total of 82 articles on technology-driven service innovation were collected from top-tier hospitality and tourism journals. The papers were analyzed using content analysis to derive key topics discussed in the literature. Such discussions were made by different service innovation categories, antecedents, outcomes and theories. Future research agendas were suggested based on the research gap found in the literature.

The results indicate that prior discussions on technology-driven service innovation viewed technology as a service or service delivery method, with limited focus on management, marketing and institutional service innovation. In addition, the study reveals five key topics that need further discussion, such as cocreative technology, human resources management, strategy management, emerging technology and digital transformation.

While there have been increasing studies that reveal determining roles of technology in service innovation, scarce research introduced the new concept of technology-driven service innovation, suggesting a comprehensive approach. By adopting the unique approach of technology-driven service innovation, the research reveals the multifaceted roles of technology in service innovation and areas that need further discussion to implement highly sustainable strategies.

The research adds to the knowledge of technology-driven service innovation by providing a holistic view of current discussions, finding research gaps and proposing future research agendas for extended discussion.

The purpose of this study is to examine the effects of banking innovations (INNs) on customer experience (EXP), satisfaction (SAT) and loyalty (LOY).

The author evaluated the data using a structural equation method-artificial neural network (SEM-ANN) method. The author’s results show the presence of relationship between INN, EXP, SAT and LOY. In this study, the node layers of ANNs add an input layer, hidden layers and an output layer. Each “node” acts as an artificial neuron that communicates with others. The ANN model takes the variables from the SEM analysis as input neurons.

The author observed the significant effects between INN, EXP, SAT and LOY using the normalised importance generated by the multilayer perceptron used in the feed-forward back propagation of the ANN methodology. In this study, the ANN model can predict LOY through service innovation, with a forecast accuracy of 77.6%.

By applying neural network modelling, this research helps us understand how service innovation affects customer behaviour. For the first time, the author examined service innovations' direct and indirect impact on loyalty through EXP and SAT. The author made a significant conceptual contribution by using a non-compensatory model of ANNs to circumvent the limitations of linear models.

The purpose of this study is to understand the strategic roles of service customer equity (SCE) and innovation protection on firm performance (FP).

Structural equation modeling (SEM) was used to test the proposed model. The authors tested the model using managerial data from two countries: USA and India.

The findings of this study indicated positive direct impacts of service innovation (SI) on FP and positive indirect impacts via SCE in both samples. SI and SCE impacts on FP were both stronger in the US samples. However, the effect of SI on SCE is stronger in India than in the USA. This study also identified moderating impacts of service innovation protection (SIP) on the relationship between SI and FP in the Indian sample and between SI and SCE in the US sample.

Although there is scholarly research in SI and its impact on FP, there are no studies the authors identified that discuss the moderating effect of SIP. The authors studied the moderating effect of SIP because (1) it is crucial for industries to maintain a competitive advantage in the marketplace, (2) it protects industries investment in research and development and (3) it also protects industries intellectual property, such as trademark, copyrights and patents. There are two key contributions of this study: (a) investigating the effect of SCE between SI and FP and (b) investigating the moderating effect of SIP using managerial data from two countries (USA vs India).

This study aims to explore how manufacturing firms master customer lock-in through value creation by servitization innovation strategies from the perspective of asset specificity.

A multiple case study with triangulation fashion is adopted to identify servitization innovation strategies. Several manufacturing firms were investigated, which are distributed in different positions of the value chain. Content analysis and abductive approaches are adopted to analyze the data. Moreover, an in-depth interview and participatory observation were conducted to refine the analysis results.

This study identified four different focusing points of servitization operations. Based on these, the paper further induces an innovative servitization strategy matrix of customer lock-in, concerning communion, intellectual, existential and insubstantial strategies. Furthermore, a conceptual model of customer lock-in by servitization innovation from the perspective of asset specificity is elaborated. It is suggested that companies can use tangible or intangible resources by sharing or storing operations to create servitization value.

This study theoretically proposes a conceptual model to extend servitization innovation as an intangible asset and adopt the new perspective of asset specificity to illustrate the value creation in servitization to generate customer lock-in.

This paper aims to examine the open innovation engagement process in terms of how online community members create and share knowledge for open innovation and the consequences of engagement.

A mixed methods approach based on netnography (Study 1), qualitative interviews (Study 2) and surveys (Study 3) was adopted in three studies.

The results of Study 1 show that hotel brand community members actively create and share their knowledge by evaluating hotel policies, providing service suggestions and creating new service ideas. The results of Study 2 identified enjoyment and empowerment as major antecedents of the engagement and brand loyalty and a sense of brand community as major consequences. In Study 3, the relationships among them were quantitatively examined.

This research provides empirical knowledge on online engagement and identifies the innovation value of online platforms. The research also provides knowledge on the engagement process for open innovation by online community members in terms of its antecedents and consequences. As a main limitation of the study, this research only focuses on a single online brand community.

While most existing tourism research analyzes the role of user-generated content in customer decision-making, this research provides a fresh insight into the innovation value of customer knowledge.

Engaging with customers and addressing unmet value have become increasingly challenging within multi-stakeholder environments of service innovation. Therefore, this paper aims to address this challenge by studying how strategic design abilities address unmet value in service engagement strategies.

The authors conducted a qualitative inductive study at a multinational corporation and interviewed marketing and design professionals on their innovation practices in service engagement strategies.

From the inductive analysis, this study identified three strategic design abilities that effectively contribute to addressing unmet value throughout the co-evolving process of service engagement: envisioning value, modelling value and engaging value. Based on this, this study proposes the emerging co-evolving loop framework of service engagement strategies.

The limitation of this emerging theory is a lack of broad generalizability with mutual exclusivity or collective exhaustiveness across industries. A theoretical implication of the framework is the integration of strategic design and services marketing towards co-created engagement strategies.

The service engagement loop framework can be of great value to service innovation processes, for which an integrated, cross-functional approach is often missing.

The findings further suggest that next to a methodological skillset, strategic design abilities consist of a distinct mindset.

This paper introduces strategic design abilities to address unmet value and proposes a novel co-evolving loop framework of service engagement strategies.

This paper addresses the growing fragmentation between traditional and digital service innovation (DSI) research and offers a unifying metatheoretical framework.

Grounded in service-dominant (S-D) logic's service ecosystems perspective, this study builds on an institutional and systemic, rather than product-centric and linear, conceptualization of value creation to offer a unifying framework for (digital) service innovation that applies to both physical and digital service provisions.

This paper questions the commonly perpetuated idea that DSI fundamentally changes the nature of innovation. Instead, it highlights resource liquification—the decoupling of information from the technologies that store, transmit, or process this information—as a distinguishing characteristic of DSI. Liquification, however, does not affect the relational and institutional nature of service innovation, which is always characterized by (1) the emergence of novel outcomes, (2) distributed governance and (3) symbiotic design. Instead, liquification makes these three characteristics more salient.

In presenting a cohesive service innovation framework, this study underscores that all innovation processes are rooted in combinatorial evolution. Here, service-providing actors (re)combine technologies (or more generally, institutions) to adapt their value cocreation practices. This research demonstrates that such (re)combinations exhibit emergence, distributed governance and symbiotic design. While these characteristics may initially seem novel and unique to DSI, it reveals that their fundamental mechanisms are not limited to digital service ecosystems. They are, in fact, integral to service innovation across virtual, physical and blended contexts. The study highlights the importance of exercising caution in assuming that the emergence of novel technologies, including digital technologies, necessitates a concurrent rethinking of the fundamental processes of service innovation.

Innovation and sustainability are two key factors for retailers seeking a competitive advantage. However, the way in which the joint effect of both of these variables impacts consumer satisfaction is still unknown. To address this gap, based on the concept of sustainability-oriented service innovation (SOSI), the authors introduce a new construct named sustainability-oriented commerce innovation (SOCI) in the context of the retail sector.

The relationships between the variables defined in this research were examined using a structural equations model for 510 customers of grocery retail establishments.

The authors find support for a direct positive impact of SOCI on customer satisfaction and an indirect impact through store equity. These chained effects are modified according to the client participation in the development of sustainable and innovative initiatives.

This research analyses the joint effect of innovation and sustainability in the retail context by introducing a new concept – SOCI – and a scale for its measurement whose psychometric properties are validated.

The purpose of the study is to explore the relationship among organisation information technology support (OITS), knowledge sharing behaviour (KSB) and service innovation performance (SIP) in the context of the Indian Hospitality Industry (IHI). This study also attempts to examine the role of KSB as a mediator in the relationship between IT support and SIP and the firm age test as a moderating variable for service innovation performance.

Proposed relations are empirically examined, and the study was carried out on 115 employees from 71 randomly selected hotels situated in the major five travel destinations of Uttarakhand state of India. Initially, confirmatory factor analysis was performed to validate the construct, afterword structural equation modeling (SEM)-Path analysis was accomplished. The researcher examines the mediation and moderation relations of the variables through statistical tests executed with the help of AMOS 24 and SPSS 26.

The study result indicated that organisation IT support has a positive influence on knowledge sharing and SIP. The mediation result findings showed KSB is partially mediated between OITS and SIP. Sequentially, firm age moderation found the statistical results shown significant difference in young and old hotels.

This study only covers the aspect of the “knowledge sharing behaviour” dimension among the major organizations’ IT support capabilities and examined both variables that might be anticipated in SIP. Considering this limitation, new areas of research investigation are open to future researchers.

The study has both theoretical and managerial implications for academicians, practitioners and researchers. An attempt to conceptualise detailed insights on organisational IT support adaptation and KSB enhancement, which further leads to lifting SIP. Moreover, the study recommended for professionals to implement KM practices and mobilise the knowledge resources optimally to achieve better organizational outcomes.

The study attempts to delineate the proposed relationship and provides valuable insights for practitioners and academicians by including the knowledge sharing dimension to improve the SIP context of the IHI.