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Development and implementation of customer solutions: A study of process dynamics and market shaping
University of Otago, Department of Marketing, New Zealand.
Linköping University, Department of Management and Engineering, Industrial Marketing and Industrial Economics. Linköping University, The Institute of Technology. Hanken School of Economics.ORCID iD: 0000-0002-4081-9737
Macquarie University, Sydney, Australia.
Linköping University, Department of Management and Engineering, Industrial Marketing and Industrial Economics. Linköping University, The Institute of Technology.
2013 (English)In: Industrial Marketing Management, ISSN 0019-8501, E-ISSN 1873-2062, Vol. 42, no 7, 1083-1092 p.Article in journal (Refereed) Published
Abstract [en]

A broad, dynamic network perspective on solution processes remains scarce. This article presents the process of developing and implementing customer solutions and its effects on the wider business environment by investigating customers and suppliers in the global mining industry (Australia, Chile, and Sweden), analyzing the deployment of a new customer solution, and assessing the changes to the competitive environment and focal firms' relationships with other customers and suppliers. It shows that the forces that drive customer and supplier interests and motivation to co-develop customer solutions may change over time, thus redefining the aim and scope of solutions and creating failure risks. Customers present problems; suppliers respond, on the basis of not only the feasibility of the customer-specific solution but also of their evaluation of future solutions in a broader market; then suppliers aim to standardize successful solutions across markets. Customers want close supplier relationships and unique solutions but also like standardized and repeatable solutions, so they can share development costs with competitors and expose the supplier to competition to avoid lock-in effects. From a network perspective, a novel solution can have a market-shaping effect and evoke reactions from other actors who want to enhance their market position. However, these changes are not necessarily deliberate, and the dynamics that market introductions of solutions trigger may be difficult to predict.

Place, publisher, year, edition, pages
2013. Vol. 42, no 7, 1083-1092 p.
Keyword [en]
Customer solutions, Co-creation, Market dynamics, Project, Mining industry
National Category
Business Administration
URN: urn:nbn:se:liu:diva-96439DOI: 10.1016/j.indmarman.2013.07.026ISI: 000327280800010OAI: diva2:641909
Available from: 2013-08-20 Created: 2013-08-20 Last updated: 2013-12-19Bibliographically approved

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