Strategy and process of value creation and appropriation in service clusters |
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| Authors: | Pi-Feng Hsieh Chung-Shing Lee Jonathan C Ho |
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| Institution: | 1. Department of Marketing Management, Takming University of Science and Technology, Taipei, Taiwan;2. School of Business, Pacific Lutheran University, Tacoma, WA 98447, USA;3. College of Management, Yuan Ze University, Chungli, Taoyuan, Taiwan;1. Servicio de Cirugía Torácica, Hospital Vall d’Hebron, Barcelona, Spain;2. Servicio de Radiología, Hospital Vall d’Hebron, Barcelona, Spain;1. Royal Melbourne Institute of Technology University, College of Business, Bld 80 Level 9, 445 Swanston St., Melbourne 3000, VIC, Australia;2. Royal Melbourne Institute of Technology University, College of Business, Bld 80 Level 7, 445 Swanston St., Melbourne 3000, VIC, Australia;3. La Trobe University, Department of Management, La Trobe Business School, Faculty of Business, Economics & Law, La Trobe University, Bundoora 3086, VIC, Australia;1. College of Business and Economics, Australian National University, Canberra, Australia;2. Department of Marketing and Information Systems, American University of Sharjah, UAE;3. Turku School of Economics, University of Turku, Finland;4. School of Marketing and International Business, Victoria University of Wellington, New Zealand |
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| Abstract: | Service-oriented networks and clusters of firms have increasingly become prevalent in recent decades. This new form of service clusters is different from the traditional industrial clusters in which the focus is primarily on costs, production, and channel distributions. We extend the research on service innovation, alliance networks, and industrial clusters to analyze the strategy and the process of value creation and appropriation in service clusters. Higher perceived customer value is created and delivered by a network of agglomerate firms dynamically engaged in value networking and service innovation. The proposed theoretical framework and innovation mechanism provide new insights for firms located in the service clusters to gain and sustain competitive advantages. It also offers a new perspective for policymakers to advance regional and global competitiveness. |
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