Overcoming the service paradox in manufacturing companies

Item Type Journal paper
Abstract

We observed that extending the service business in manufacturing companies often leads to a "service paradox." Where there is such a paradox, substantial investment in extending the service business leads to increased service offerings and higher costs, but does not generate the expected correspondingly higher returns. We have worked with more than 30 equipment manufacturing companies to gain an understanding as to why manufacturing companies often fail to exploit the financial benefit of extending their service business. Based on this broad research, we attempt to provide guidance for managers in manufacturing companies seeking to successfully extend their service business.

Authors Gebauer, Heiko; Fleisch, Elgar & Friedli, Thomas
Journal or Publication Title European Management Journal
Language German
Subjects business studies
HSG Classification contribution to scientific community
Refereed Yes
Date 29 June 2005
Publisher Pergamon
Place of Publication Oxford
Volume 23
Number 1
Page Range 14-26
Number of Pages 13
ISSN 0263-2373
ISSN-Digital 1873-5681
Publisher DOI 10.1016/j.emj.2004.12.006
Depositing User Heiko Gebauer
Date Deposited 14 Dec 2005 20:29
Last Modified 23 Aug 2016 10:59
URI: https://www.alexandria.unisg.ch/publications/21606

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Citation

Gebauer, Heiko; Fleisch, Elgar & Friedli, Thomas (2005) Overcoming the service paradox in manufacturing companies. European Management Journal, 23 (1). 14-26. ISSN 0263-2373

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https://www.alexandria.unisg.ch/id/eprint/21606
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