Bridging relational asymmetry through servitization: an exploratory study

Abstract

Purpose of the paper –This paper aims to investigate how a firm that has transitioned to adigital servitization business model bridges relational asymmetry. It continues the theme of sustainability from the traditional three dimensions—environmental, economic, and social sustainability—to relational in terms of the quality of the relationship between the service provider and the customers. Methodology – Adopting an exploratory approach, qualitative data has been gathered fromthe ase of Xerox, a pioneering company that adapts servitization business models. The combination of exploratory archival and literature search studies allowed a deeper understanding of servitization and how it directly or indirectly bridges (or not) the relational asymmetry. Main Findings – According to the findings, the servitization business model is relational by nature, but in order to be viable, it needs to invest in transparency. When considered from a relational standpoint, servitization is not only a process of creating value but co-creating it with the customers. Practical implications – This exploratory paper gives managers rational insight into whether it is sustainable to fill the relational asymmetry between them as service providers and their customers in delivering quality service. Originality/value: This paper takes a fresh look at servitization, arguing that the relational asymmetry filled by servitization will define the future of businesses that differentiate themselves through quality relationships

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