Servitization and competitive advantage:the importance of organizational structure and value chain position


Servitization represents a business-model change and organizational transformation from selling goods to selling an integrated combination of goods and services. Competitive advantage is one outcome of this shift. During servitization, companies follow stages to realize services as an opportunity to differentiate from goods and achieve higher customer satisfaction. This study analyzes this transition from base, intermediate, and advanced services by presenting results from 102 senior executives in multinational companies. Our results suggest increasing interest in service-led strategies in manufacturing companies. The results also show that increasing differentiation and high customer satisfaction are fundamental to achieving competitive advantage and superior performance with services. The analysis also indicates the importance of a company’s position in the value chain and the organizational structure it selects to support services in successful servitization.

Publication DOI:
Divisions: College of Business and Social Sciences > Aston Business School
College of Business and Social Sciences > Aston Business School > Operations & Information Management
Additional Information: This is an Accepted Manuscript of an article published by Taylor & Francis in Research-Technology Management on 23/12/15, available online:
Uncontrolled Keywords: servitization strategies,value chain,organizational structure,Business, Management and Accounting(all)
Publication ISSN: 1930-0166
Last Modified: 27 May 2024 07:13
Date Deposited: 16 Jul 2015 12:20
PURE Output Type: Article
Published Date: 2015-09-01
Authors: F. Bustinza, Oscar
Ziaee Bigdeli, Ali (ORCID Profile 0000-0002-8128-0918)
Baines, Timothy S (ORCID Profile 0000-0002-7518-2967)
Elliot, Cindy



Version: Accepted Version

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