Purpose – The current research aims to analyze antecedents and consequences of using the information provided by customers involved in new service development (NSD). It also seeks to examine the moderating effect of technological turbulence on the antecedents and consequences of information use. Design/methodology/approach – Data were collected from service firms in a variety of industrial sectors. Unit of analysis was a NSD project in which current or potential customers were involved during its development process. A self-administered mail survey was used to collect the data. A total of 102 complete questionnaires were returned. The proposed model was tested using partial least squares. Findings – The results indicate that the instrumental use of the information collected from customers involved in NSD can lead to higher service advantage and service newness and in turn to higher market performance. Findings reveal that higher recording and reviewing of information collected from customers involved in NSD result in greater use of the information during the NSD process. An important result is that under technologically turbulent environments, recording and reviewing information from customers involved in NSD is less likely to result in a higher instrumental use of such information. Finally, the authors' results show that when technological turbulence is high the instrumental use of information from customers involved in NSD has lower value for both service advantage and service newness. Originality/value – Findings confirm the importance of customer involvement for NSD in a business context. Using the information from customers involved in NSD to resolve specific problems or make decisions regarding NSD projects can result in enhanced service performance. Moreover, information processing capabilities are key antecedents to instrumental information use. Finally, managers should be aware of the potential negative effect of technological turbulence.
Purpose -The purpose of this article is to present a model that compares the switching costs that consumers face when they buy pioneering and follower products. Design/methodology/approach -A study of 255 new products indicates that switching costs are actually higher when switching from an existing product to a pioneering product. Findings -The study shows that people who buy a pioneering product may also face switching costs, if the pioneering product is launched in an existing category where consumers are already familiar with similar products.Research limitations/implications -The results help to reinforce the view that first movers have advantages and demonstrate that switching costs do not lead to a higher level of consumer retention. Practical implications -This study provides interesting managerial implications on how to launch new products more effectively when they suffer from switching costs.. Originality/value -Researchers commonly view switching costs as a barrier to market entry that protects enterprises that launch pioneering products and gives them a competitive advantage over those that launch follower products. The underlying idea is that people only experience switching costs when they change to a different follower product, rather than when they purchase a pioneering product instead of the product that they usually purchase.
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