Purpose
This paper examines the influence of three dimensions of customer knowledge management – knowledge from customer, knowledge for customer and knowledge about customer – on innovation capabilities (speed and quality) and new service market performance.
Design/methodology/approach
The model links three dimensions of customer knowledge management to two dimensions of innovation capabilities. Further, the model links two dimensions of innovation capabilities to new service market performance. Analysis was conducted through structural equation modelling using SmartPLS software, using data from 253 managers representing 26 banks in Bangladesh.
Findings
The findings of this study show that knowledge from customer and knowledge for customer are the most influential predictors of new service market performance. Of the three dimensions of customer knowledge management, knowledge from customer turns out to be the strongest predictor of innovation quality and speed. Innovation quality has a greater impact on new service market performance than innovation speed. Innovation capability (quality and speed) plays a mediating role in this study.
Practical implications
Managing knowledge from, for and about customer should be systematically considered as a synergy approach to firms’ processes and activities to co-create value with customers. In particular, managers should put more emphasis on knowledge from and for customer to enhance innovation capacity and achieve success in the development of a new service.
Originality/value
This paper empirically supports the significant influence of knowledge from, for and about customer on innovation capabilities (quality and speed) and new service market performance. While the results provide guidance for researchers and practitioners, it also adds value to innovation-related research.
Purpose
– The purpose of this paper is to validate scale measurements of dialogue, access, risk assessment and transparency (DART) constructs, as the process of value-co-creation, and then understand its effect on innovation strategy. Further, the paper explores the influence of innovation strategy on the market performance.
Design/methodology/approach
– The model links four dimensions of DART as building blocks of value co-creation, to the innovation strategy. Further, the model links innovation strategy to the market performance. In total, five hypotheses are postulated. Testing was conducted through structural equation modeling using PLS-SEM, utilizing data from 249 managers of telecommunication companies in Malaysia.
Findings
– The result of the analysis revealed dialogue, risk assessment and transparency having a significant positive relationship with innovation strategy. These results signified the importance of value co-creation to formulate an innovation strategy of the firms. The finding of the research shows that innovation strategy has a strong effect on market performance as well.
Practical implications
– Implementing value co-creation process facilitates companies in formulating an innovation strategy that enhances market performance significantly.
Originality/value
– The paper validated scale measurement of DART model which adds substantial knowledge and concepts in the areas of value co-creation process. It describes the first empirical research study on the practice of value co-creation and innovation strategy in developing country focusing on telecommunication industry. Further, the model examines the effect of DART dimensions on innovation strategy result in market performance enhancement.
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