The paper describes the effect of forming business networks and collaborations for the purpose of developing an Integrated Product-Service Offering (IPSO) using the Product/Service Systems (PSS). The research method is an in-depth case study of a joint venture formed by four companies developing a new technology for chemical extraction from water sludge waste within the pulp and paper industry.
Combining literature from PSS, network theories and collaborative product development, this paper puts forward the benefits for SMEs to collaborate in business networks and produce IPSOs when introducing a new technology in an emerging market. The case study shows that working towards the new market would not have been possible if each party acted individually or maintained their traditional buyer-supplieroperator roles, and that IPSOs can reduce the business risk.