Service And Support: From Cost Reduction To Revenue Generation
- Tags:
- Channel Management,
- Cost Reduction,
- Dartmouth College,
- Marketing,
- Revenue,
- Service,
- Value Chain
- Source:
- Dartmouth College
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Overview: Manufacturers and retailers are increasingly moving into services. This offers new opportunities for growth and profit, but also presents interesting challenges. Once a company has demonstrated a genuine commitment to services, it still needs to work out the full implications of the strategic choice. To follow through on its shift toward services, it is necessary for a product-oriented company to discover exactly what further steps are involved in making the transition. It is usually valuable to re-think the logic of what the company has already done and where it is going. Hence, the best outcomes for all partners in a value chain depend on each partner realizing that their collective success—and their ability to defeat rival value chains—depends on their ability to work together, coordinating their activities to create as much value for their customers as they can, and allocating that value appropriately.
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Format: PDF | Size: 290KB | Date: Feb 2003 | Pages: 16
