scholarly journals The Effect Of Service-Driven Market Orientation On Service Innovation: Literature Review And New Research Framework

2017 ◽  
Vol 33 (5) ◽  
pp. 999-1012
Author(s):  
Seng Ratny ◽  
Arif Mohammad Arshad ◽  
Tian Gaoliang

The aim of this paper is to analyse the literature regarding the association between service-driven market orientation and innovation in service organizations as well as create conceptual framework about this relationship. Scholars have suggested that the service firms implementing service-driven market orientation can perform significantly better than traditional market-orientation and become increasingly aware of market demands better than their competitors. The service firms need to react quickly and effectively to changing customers’ demands. Bring in the service-driven market orientation model for service sector leads to critical advantages and particularly their benefits on service innovation. The recent work examined the market orientation-innovation relationship regarding the service industries. An examination regarding the market orientation in service organization is presented along with the conceptual framework and conceptual model is recommended.

2016 ◽  
Vol 8 (3) ◽  
pp. 296-309 ◽  
Author(s):  
Sergei Kazakov

Purpose The purpose of this paper is to study the impact of market orientation on a companyµs business performance in a service industry using one of the emerging markets as a research setting. Design/methodology/approach The examination of two recognized MKTOR and MARCOR market orientation concepts in this paper led to the development of a market orientation model in a service industry that considers the local specifics of doing business. The model was tested in a study of 133 businesses that operate in a Russian service industry. The data analysis was completed to investigate and measure the impact of the market orientation level on a company’s business performance. Findings The data analysis following the field study determines that market orientation delivers a positive impact on the company’s overall business performance. Practical implications Inter-functional coordination should receive broad attention from company management, as this market orientation element is the most vital for business performance – especially in service industries. Accompanying model elements also provide leverage to business performance that should not be overlooked. Synchronized utilization of the market orientation model elements has a very positive impact on the company’s business. Originality/value This research paper contributes to an array of publications dedicated to market orientation in one of the most multifaceted emerging markets, the Russian Federation. It is also the first time that the market orientation concept has been applied by service industry organizations in Russia.


2018 ◽  
Vol 35 (8) ◽  
pp. 1568-1598 ◽  
Author(s):  
Bilal Ahmad Khan ◽  
Hummayoun Naeem

PurposeThe purpose of this paper is to present a new conceptual framework for service organizations to achieve sustainable business performance through strategic quality orientation and innovation capabilities on the basis of relevant literature review and integration of various innovation and business sustainability theories and models. The study tests if the strategic quality orientation enhances innovation capabilities in terms of exploitation and explorative innovation, which, in turn, can lead to sustainable business growth. Mediating impact of innovation capabilities between strategic quality orientation and sustainable business growth relationship is also examined.Design/methodology/approachA conceptual framework was developed to test and establish these relationships. Results were analyzed based on 442 questionnaires collected from five different service industries of Pakistan, and the structural equation modeling technique was used to empirically test the conceptual framework.FindingsThe results indicate that strategic quality orientation directly affects innovation capabilities and sustainable business growth and also indirectly impacts sustainable business growth through its effect on innovation capabilities.Practical implicationsThe study suggests service organizations can jointly implement quality and innovation using a structured approach, with strategic quality orientation as the foundation. In this way, they can leverage from their strategic quality management, supplier relationship, corporate quality culture, continual improvement and people management in order to ensure innovation and sustainability in their business growth.Originality/valueThe study integrates strategic quality orientation and innovation capabilities, and validates a new organizational framework through empirical examination which can be used by service organizations to ensure their sustainable business growth.


2016 ◽  
Vol 36 (9) ◽  
pp. 974-994 ◽  
Author(s):  
Daniel I. Prajogo ◽  
Adegoke Oke

Purpose The purpose of this paper is to examine the effect of human capital (HC) on service innovation advantage (SIA) and business performance (BP) in service sector firms, and how external environmental factors influence these relationships. Design/methodology/approach This study utilized a cross-sectional mail survey of a random sample of Australian service firms with the unit of analysis being at the firm level. In total, 228 usable responses were received. Findings The overall findings of this study show that HC is positively related to the creation of value or SIA which in turn results in rent generation for firms. The results further show that the effect of SIA on BP is influenced by environmental dynamism and competitiveness with dynamic environments enhancing the effect while competitive environments weakening it. Research limitations/implications The findings demonstrate the complementarity between the resource based theory and contingency theory as they clearly shows that the value of innovation as a firm’s capability is enhanced or weakened within a business environment that is more dynamic or competitive. Practical implications The findings demonstrate the importance of HC, and, thus, encourage managers to seek ways to harness and leverage HC for improving innovation and BP. In addition, the study also helps managers to understand the contingency effect of business environment on the effectiveness of innovation, hence, helping them in deliberating firms’ strategy in different business environments. Originality/value To the best of the authors’ knowledge, this is the first study which examines the effectiveness of HC as organizational resource for building SIA as a source of organizational competitive advantage.


2019 ◽  
Vol 23 (07) ◽  
pp. 1950066
Author(s):  
WANN YIH WU ◽  
PHUOC THIEN NGUYEN

Due to the dynamic changing environment, firms have to continuously promote novelty and variety. Particularly in the service sector, the concept of dynamic service innovation capability (DSIC) has created a lot of attention. Five major dimensions including sensing customer needs, sensing technological options, conceptualising ideas to practices, co-producing and orchestrating, and scaling and stretching, have been identified as some of the most important factors to win competitive advantages. However, empirical validations regarding the generalisability of DSIC constructs and its influences on service innovation, competitive advantage and organisational performance are still limited. Using a questionnaire survey approach, data were obtained from 258 respondents who are executive managers of convenient stores, supermarkets, home shopping, retailed, etc. The results concluded that learning orientation, knowledge resources and relationship-based assets are three of the major antecedents that can promote DSIC. Service innovation, competitive advantage, and organisational performance are the major consequences of DSIC. Furthermore, market dynamism and market orientation can serve as two of the moderators to strengthen the influences of DSIC on service innovation, competitive advantage and organisational performance.


Author(s):  
Anu Vij

Abstract - Advancement in information technology has impacted almost all the businesses and management functions and operations. In the contemporary times, businesses are integrating internet based services in their business model and offerings made to customers.  Service firms have been pampering customers with facilities readily available through social media websites. The trend points to the fact that firms are aware of the preferences that necessitate providing relevant information to their target market through social media websites with stylish looks and a lot of imageries. This not only gives the customers a pleasing experience but also entice them to purchase. This study explores various marketing efforts made through social media by the services sector. Selected service organizations from hospitality and airlines sector in United Arab Emirates (UAE) are taken into consideration to conduct the study. The study also brings forth opinions of respondents on issues related to social media in the service sector. The research findings provide useful insights for practitioners, brand managers to understand how social media is affecting consumer behavior, enabling them to customize their social media strategies. The study is also helpful for the academicians and students to further enhance their knowledge on this growing issue of topical interest.   Index Terms - Service Organizations, Social Media Marketing, Hospitality Sector, UAE


Author(s):  
Christina-Franca Feyertag ◽  
Holger Roschk

AbstractWorkplace coaching has been established as a popular managerial development tool to support employees on all hierarchical levels. In service industries, coaching is underrepresented. This is rather surprising because more than in any other industry, the employees’ attitudes and personal job satisfaction have an impact on customers’ service perceptions. Thus, taking care of the service personnel should be a top concern for service firms. This position paper therefore presents the challenges service employees are confronted with, according to their distance to the customer, and describes how coaching may help them to overcome those challenges from a conceptual point of view. Service employees may be influenced by workplace coaching, affecting not only their work performance (i.e. skill-based outcomes), but also their attitude and personality (i.e. psychological outcomes). Theoretically, this study adds on previous research, by presenting a conceptual discussion of positive outcomes of coaching for service organizations, which is supplemented by considerations about negative or unwanted effects. Service practitioners learn that coaching can be widely applied to different employee groups and gain a differentiated perspective about conceivable positive and negative outcomes.


Author(s):  
Elayne W. Coakes ◽  
Peter Smith ◽  
Dee Alwis

This chapter presents the argument that service innovation is promoted by supporting divergent interpretations, enlarging the scope of employee and organizational skills and competencies, making interactions and knowledge sharing between people easy, and by encouraging close ties with customers. The chapter further argues that service organizations that utilize sociotechnical mechanisms for knowledge sharing through the use of a successful community of innovation (which we term a CoInv), and that build into their innovative capacities a strong relationship with their customers and suppliers, are very likely to innovate successfully. The argument is demonstrated through a qualitative case study where data analysis was deductive from multiple data sources. The chapter also demonstrates the power and efficacy of channeling activities through community innovation lenses. We argue that identifying innovation champions and comprehensively supporting them will potentially trigger more successful innovations thus improving service competitiveness in the market place.


2019 ◽  
Vol 11 (2) ◽  
pp. 167-186 ◽  
Author(s):  
Fazli Idris ◽  
M. Muzamil Naqshbandi

Purpose The purpose of this study is to explain the components of competitive priorities of Indian service firms, to find out the competitive priorities of different service industries in India and to find out how these competitive priorities change across low- and high-performing service firms. Design/methodology/approach An empirical study of 166 firms from five different service industries is undertaken in New Delhi and its surroundings. Findings The results reveal the presence of three competitive priorities in the services sector in India: cost, flexibility and quality/delivery, with quality/delivery being the most distinctive competitive priority. Hotel and auto-repair industries are found to be focused on controlling costs, while hospitals, banks and private colleges prioritized quality/delivery. For high-performing firms, cost is the top most competitive priority, followed by quality/delivery and flexibility, while for low-performing firms, quality/delivery remains the top most competitive priority, followed by flexibility and cost. Originality/value The paper enhances the understanding of competitive priorities in the Indian services sector. The identification of competitive priorities of different service industries in India and their dynamics across different industries add value to the current literature and fill an important research gap. Additionally, surveying diverse industries in this paper reveals a holistic picture of the Indian service industry and helps achieve some degree of cross-industry perspective.


2002 ◽  
Vol 36 (9/10) ◽  
pp. 1103-1118 ◽  
Author(s):  
Muris Cicic ◽  
Paul Patterson ◽  
Aviv Shoham

Madsen synthesized international performance studies and identified 20 performance antecedents. Of these, 12 are unrelated to international performance or have conflicting relationships across the reviewed studies. We use his recommendations to increase the value of international performance research. First, we include seven antecedents that cover the organizational, environmental, strategic, and performance domains of his model, including components of the market orientation model. Second, earlier studies involved mostly North American and European goods exporters. This study extends previous research to the service sector in Australia. Based on responses from 181 exporters, the importance of managerial attitudes, perceived international barriers, and human resource efforts is shown to affect international performance.


2017 ◽  
Vol 40 (4) ◽  
pp. 378-409 ◽  
Author(s):  
Navneet Bhatnagar ◽  
Arun Kumar Gopalaswamy

Purpose This paper aims to identify the dimensions of a firm’s service innovation competence. This paper also aims to establish the relationship between a firm’s service innovation competence dimensions and customer-oriented service innovation configurations and customer adoption. This study probes the supply side of service innovation to assess the key drivers or capabilities that influence the service innovation process at the firm level. Design/methodology/approach This study uses the triangulation method using existing theoretical concept supplemented by 18 in-depth interviews of senior level managers from service firms from three sectors – hospitality, mobile telecommunication services and financial services. The interview findings were supplemented by 12 service innovation case studies (four from each sector). Content analysis of in-depth interviews was performed using three raters, and inter-rater reliability was tested. Case studies were categorized in terms of the strength of the innovation competence dimension observed. Findings Based on the content analysis of the interviews and categorization of case study observations, six distinct dimensions of the firm’s service innovation competence were identified. Four attributes of each dimension were also identified. Based on the interview insights and case observations, seven propositions are suggested, and a conceptual framework is presented to establish the relationship between the firm’s service innovation competence dimensions and service innovation configurations and customer adoption. Research limitations/implications This study was conducted in the Indian context and remains to be tested using quantitative research. Therefore, researchers are encouraged to test the proposed framework in a different geographical context to ascertain its validity. Practical implications The conceptual framework presented in the paper may help managers of service firms in building innovation capabilities that are relevant to development of customer-oriented innovations. This would lead to better customer adoption of their new services. Originality/value This paper fills an important knowledge gap regarding the dimensions of a critical supply-side component of service innovation, that is, innovation competence. Clear identification of competence dimensions and their relationship with customer adoption extends the current knowledge on service innovation.


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