2000
DOI: 10.1108/14601060010322293
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From product innovation to solutions innovation: a new paradigm for competitive advantage

Abstract: Organisations have traditionally employed new product development frameworks to increase the effectiveness of their innovation programmes. These strategies have worked in the past but are increasingly being challenged by developments in the marketplace and technologies. This has led firms in some sectors to move to a new paradigm of competitiveness, namely solutions innovation. This paper examines the challenges facing the computer and electronic equipment sector and the movement to a solutions innovation para… Show more

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Cited by 173 publications
(124 citation statements)
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“…For example, many innovative products in the computer industry entail selling solutions or combinations of products and services (Bresnahan and Greenstein 1999). An established local distribution network may offer greater potential for the firm to realize value from a new recombinant product by quickly delivering that product to customers through a trusted distribution channel or by effectively coordinating across multiple distribution channels (Shepherd and Ahmed 2000). The latter is particularly important because customers in the computer industry increasingly require more complex and integrated solutions, placing even higher demands on coordinated delivery (Davies et al 2007).…”
Section: Value-creation Incentivesmentioning
confidence: 99%
“…For example, many innovative products in the computer industry entail selling solutions or combinations of products and services (Bresnahan and Greenstein 1999). An established local distribution network may offer greater potential for the firm to realize value from a new recombinant product by quickly delivering that product to customers through a trusted distribution channel or by effectively coordinating across multiple distribution channels (Shepherd and Ahmed 2000). The latter is particularly important because customers in the computer industry increasingly require more complex and integrated solutions, placing even higher demands on coordinated delivery (Davies et al 2007).…”
Section: Value-creation Incentivesmentioning
confidence: 99%
“…The importance of providing solutions rather than selling products has been seen by some as heralding the emergence of new service-based and customer-centric business models (Slywotzky 1996;Slywotzky and Morrison 1998;Sharma and Molloy 1999;Shepherd and Ahmed 2000;Cornet, et. al.…”
Section: Introductionmentioning
confidence: 99%
“…Regardless of the terminology, it predominantly depicts and defines a solution as a bundle of products, services and software (Wise and Baumgartner, 1999;Galbraith, 2002;Brady et al, 2005a), which can solve customer-specific problems (Miller et al, 2002;Davies et al, 2006;Sawhney, 2006;Ceci and Prencipe, 2008), and are relatively broad and complex offerings focused not only on technical integration but also on the total usage context (Shepherd and Ahmed, 2000;Tuli et al, 2007).…”
Section: Introductionmentioning
confidence: 99%