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1 – 10 of over 88000Hayat Ayar Şentürk and Kaan Tuğrul Özkan
The logic of value innovation has received increased attention in the strategic marketing and innovation literature. Studies investigating how value innovation, as a firm’s…
Abstract
Purpose
The logic of value innovation has received increased attention in the strategic marketing and innovation literature. Studies investigating how value innovation, as a firm’s strategic mindset, contributes to creating new market space through more proximal market-driven factors such as strategic decisions and customer value are still lacking, nevertheless. This study aim to investigate how the logic of value innovation influences creating new market space through quantum strategy and customer value creation.
Design/methodology/approach
Survey data from a sample of 204 manufacturing and service firms was used to test the conceptual model and research hypotheses. The data were analyzed using structural equation modeling.
Findings
The findings reveal the direct and indirect effect of value innovation logic on the new market space through the mediation of quantum strategy and customer value creation. Besides, this study shows that quantum strategy does not directly contribute to customer value creation. A reason is that the quantum strategy as a both/and strategy is the more dominating factor in creating new market space.
Originality/value
There is still a lack of a systematic understanding of how value innovation, as a firm’s strategic mindset, contribute to creating new market space through a firm’s strategic choices and superior customer value creation, as more proximal market-driven factors. This study empirically attempted to address this research problem. This study contributes to the strategic marketing literature by providing a model for the interwoven relationships between value innovation, quantum strategy, customer value and new market space.
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Digital and information technologies (IT) are becoming silently pervasive in old-fashioned real estate markets. This paper focuses on three important avenues for the diffusion of…
Abstract
Purpose
Digital and information technologies (IT) are becoming silently pervasive in old-fashioned real estate markets. This paper focuses on three important avenues for the diffusion of IT in commercial real estate: online brokerage and sales, the commoditization of space and Fintech in mortgage and equity funding. We describe the main new markets and products created by this IT revolution. The focus is on the pioneering US market, with some attention devoted to the specific firms and institutions taking these innovations into the mainstream. We also carefully analyze the economic underpinnings from which the new technologies can expect to generate cash flows, thus becoming viable—or not. Finally, we discuss their likely impact on established players in the commercial real estate arena.
Design/methodology/approach
In this paper, the author chooses to focus on three separate arenas where the IT revolution—sometimes referred to as Proptech, as applied to real estate—is having discernible impacts: sales and brokerage, space commoditization and online finance platforms. The author invites the reader to think seriously about the economic fundamentals that may—or may not—sustain new business models in Proptech. Real estate economists and investors alike need to be critical of new business models, especially when they are being aggressively marketed by their promoters. Trying to avoid any hype, the author provides thoughts about the likely impact of the innovations on their markets, guided by economic and finance theory, and previous experience.
Findings
The author evaluates the evolution of commercial real estate brokerage. While innovations will, no doubt, have an impact on the ways in which we buy and lease commercial properties, the lessons from the housing market should make us skeptical about the possibility of the new technologies dramatically facilitating disintermediation in this market. In fact, new oligopolies seem to be emerging with regard to market data provision.
Practical implications
Proptech will change some aspects of the real estate industry, but not others!
Originality/value
As change pervades the property industry, only a relatively few research pieces are illustrating or—more importantly—providing insights about the likely economic and financial impacts of IT penetration. Similarly, only a few papers have so far addressed the economic viability of the alternative business models of tech startups targeting real estate markets and transactions.
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David Ballantyne and Elin Nilsson
The emergence of new social media is shifting the market place for business towards virtual market space. In the light of the emerging digital space for new forms of marketing…
Abstract
Purpose
The emergence of new social media is shifting the market place for business towards virtual market space. In the light of the emerging digital space for new forms of marketing, the traditional servicescape concept is critically examined. This paper aims to show why servicescape concepts and attitudes need to be adapted for digital media.
Design/methodology/approach
First, the authors explain how the traditional servicescape concept adds meaning to a service provider’s value-proposition by modifying customer expectations and customer experience. Second, recognising that the environment for service is no longer bound to a physical place, the authors discuss the implications of the epistemic shift involved.
Findings
The authors’ examination shows that digital service space challenges traditional concepts about what constitutes a customer experience and derived value. The authors conceptually “zoom out” into a virtual service eco-system and show with exemplar examples why the servicescape in digital space is more socially embedded and necessarily more fluid in its time-space design. In the more advanced sites, interactions between various artificial bodies (avatars) are co-created by controlling off-line participant-actors; yet, these participant-actors remain strangers to each other at an off-line level. This is entirely a new and radical development of old times.
Research limitations/implications
The research findings are based on scholarly research of the relevant literature, from practitioner reports, and evidence emerging from the examination of many digital web-sites. It has not been the authors’ intention to objectively represent current servicescape functionalities but more to indicate the major directions of change with exemplar examples. The future cannot be predicted, but their interpretive conclusions suggest major challenges in service marketing and management logic ahead. New forms of digital servicescape are still being created as technology and service imagination enables, so further research interest in virtual atmospherics can be expected.
Practical implications
Social media platforms are enabling organisations to learn more about their customers and also to engage them more. In these changing times, bricks and mortar stores would be well advised to review their servicescape presence to allow and encourage engagement with the more involved consumers. And, by integrating their digital space into their physical place, bricks and mortar stores might take on more relationship oriented process-like characteristics, both in the digital space and in their physical places, with developments on one platform leading to possible service innovations on the other.
Social implications
The digital era is changing consumer behaviour. Service managers need to take into account that many customers are already equally as engaged with digital-space social networks as they once were with bricks and mortar stores. The more time consumers as participant-actors spend in social networks, the decision on what and where to buy is decided by interactions with friends and other influencers.
Originality/value
New forms of digital servicescape are being created as technology and service imagination enables. Further scholarly research interest in virtual atmospherics can be expected, impacting on the authors’ sense of place, and self-identity.
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The ubiquity of digitally intermediated interactions is changing the ways in which social interaction creates the cognitive and institutional underpinnings of new markets. Logics…
Abstract
The ubiquity of digitally intermediated interactions is changing the ways in which social interaction creates the cognitive and institutional underpinnings of new markets. Logics that define markets used to be localized, but they now emerge from crowds that span – and persist – across time and space. This article builds a theory of how crowds emerge and evolve in a way that influences the emergence of shared logics and helps explain why some markets are viable while others are not. What is revealed is that a crowd has a hidden niche structure that determines the fate of a new market.
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In a process termed “organizational centrifugalism,” this chapter describes how avant-garde artists sought new, alternative organizational spaces for innovations in the visual…
Abstract
In a process termed “organizational centrifugalism,” this chapter describes how avant-garde artists sought new, alternative organizational spaces for innovations in the visual arts from the late nineteenth century through the early twentieth century and how new alternative marketspaces co-evolved with these new organizational spaces. Organizational centrifugalism begins with the denouement of the state-run Salon and Academy in the mid-nineteenth century; the rise of the dealer-critic system and other, non-salon alternative exhibition spaces of French Impressionism in the latter half of the nineteenth century; and through many new organizational spaces associated with Modernism such as formal artists groups, museums, great exhibitions, schools of art, and Modernist art itself. The ultimate effect of organizational centrifugalism is drawing avant-garde art closer to the public and eventually the masses. Excessive organizational centrifugalism, however, can be dangerous to the avant-garde art.
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Emiel F.M. Wubben, Simon Düsseldorf and Maarten H. Batterink
The purpose of this paper is to discover an uncontested market space in the European fruit and vegetables industry (EFVI), and thereby assess the ex‐ante applicability of the Blue…
Abstract
Purpose
The purpose of this paper is to discover an uncontested market space in the European fruit and vegetables industry (EFVI), and thereby assess the ex‐ante applicability of the Blue Ocean Strategy of Kim and Mauborgne.
Design/methodology/approach
The search for an untapped market space made it necessary to first configure the logic of the Blue Ocean Strategy, which the authors coined the BOS‐framework. Next, the application to the EFVI required a two‐stage research strategy, namely desk research with six case studies, and a large survey.
Findings
The findings confirm that the Blue Ocean Strategy‐framework enables one to identify ex ante an untapped market space, characterized by the combination of sweeties' attributes with fresh fruit. The revolutionary untapped market space which the authors arrived at is “Youngfruit”, targeted at the new buyer group children and teenagers.
Originality/value
The research provides important insights in future key success factors to set oneself apart from competitors and change the rules of the game in the very competitive EFVI. Furthermore, this paper is (one of) the first to assess empirically the qualities and limitations of the Blue Ocean Strategy.
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Dennis Pitta and Elizabeth Pitta
Over the last several decades, product development efforts have seen unacceptably high new product failure rates. One important factor is the presence of competitors who can…
Abstract
Purpose
Over the last several decades, product development efforts have seen unacceptably high new product failure rates. One important factor is the presence of competitors who can interfere with marketing strategy and force changes that sap resources and reduce success. As industries try to improve their success, line extensions, i.e. developing products similar but different to successful products, have become more common. Simultaneously, industries have reacted by refining the new product development (NPD) process to make it more reliable and accurate. The refined development techniques are so helpful in refining product benefits with which firms are familiar that they reinforce the pressure to extend the line. The result is overcrowded markets where destructive competition destroys profitability. A “blue ocean” strategy promises to change the destructive cycle of market crowding. Originally the framework focused on overall market strategy. However, it has a direct application to NPD. Revising the NPD process to incorporate a blue ocean viewpoint before the idea generation stage may reduce the failure rate and create breakthrough products that are not easily emulated. This paper aims to address this issue.
Design/methodology/approach
The paper reviews the NPD literature as well as work implementing a blue ocean strategy. It delineates the tools developed for applying blue ocean concepts to strategy. The paper then applies a blue ocean approach to the NPD process with the objective of developing new products and services that are unhindered by competitive offerings. Implementing a blue ocean strategy involves four main actions and may be focused on six targets. The paper integrates the elements into a strategic opportunity product development matrix which may help practitioners. Moreover, it identifies at which stage of the new product development process blue ocean concepts should be introduced.
Findings
The paper reveals that there are no unvarnished panaceas in product development. Applying a blue ocean strategy to avoid competition early in the product life cycle promises to reduce dangerous competition to allow the product to succeed. However, the gains will probably not extend indefinitely. It requires constant improvement and application of the concepts to gain a measure of sustainability. If firms are successful early, they may be able to defend gains in some areas to retain profitability, while seeking new blue oceans.
Practical implications
Blue ocean applied to marketing strategy has seen large gains in success. Integrating efforts to find uncluttered market space holds the promise of increased success. It will also refine the NPD process.
Originality/value
Blue ocean strategy has not been applied to the new product development process in the literature. The paper integrates the concepts of the strategy with the elements of product development. The result is a new approach toward success products and product introductions.
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Variation, replication and selection processes are acknowledged as key constructs in studies on how industries evolve, but no theoretical and empirical contributions have applied…
Abstract
Purpose
Variation, replication and selection processes are acknowledged as key constructs in studies on how industries evolve, but no theoretical and empirical contributions have applied these key constructs to analyzing industries in specific stages of their history. This paper aims to fill this gap, taking for reference the firm and its strategic action in particular.
Design/methodology/approach
After delineating and discussing the three processes of interest – variation, replication and selection – this paper analyzes three very different evolutionary contexts: “red” industries, that reached maturity maintaining a polypolistic structure, and that continue to evolve in this phase; the oligopolistic transformation undergone by certain industries; and the emergence of new market spaces around new products developed by firms.
Findings
Variations are mainly reactions to the competitive environment in the evolution of red industries or environment-modifying in the case of industries evolving toward an oligopoly, and in the creation of new market spaces. Horizontal replication through employee mobility prevails in red industries, while in the other two contexts firms driving the evolution raise barriers to replication, inhibiting both horizontal and vertical replication. While selection does not come about in a new market space as long as the barriers erected by the first comer remain in place, it occurs in the form of subset selection in the other two settings.
Originality/value
This paper takes an entirely novel approach and proposes a pluralist framing of how industries evolve, interpreting the different evolutionary situations on the strength of the key variables of variation, replication and selection.
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An NBM is a market form in that it is made of institutions and business models. It arises in a particular context where abundant novelty issuing from the producer side meets…
Abstract
An NBM is a market form in that it is made of institutions and business models. It arises in a particular context where abundant novelty issuing from the producer side meets substantial search costs and evaluation difficulties on the consumer side. In a NBM consumers don’t necessarily know what they are searching for. These difficulties on the demand side are specifically caused by the fact that novel goods, which are experience goods, often require new “rules for choice” as new suites of evaluative criteria.