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Servitisation of European manufacturing: evidence from a large scale database

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  • Bernhard Dachs
  • Sabine Biege
  • Martin Borowiecki
  • Gunter Lay
  • Angela Jäger
  • Doris Schartinger

Abstract

Manufacturing firms increasingly produce and provide services along with or instead of their traditional physical products. The goal of this paper is to provide new evidence for this servitisation of European manufacturing and test previous findings based on case studies with a large, firm-level data set. Empirical results indicate that service turnover of manufacturing firms is still small compared to the turnover with physical products. National differences play only a minor role in explaining the degree of servitisation. Firm size is of more relevance. Results reveal a U-shaped relationship between firm size and servitisation which points to advantages of both, small and large firms in servitisation. Moreover, servitisation is positively related to product complexity and the likelihood that the firm introduces product innovation.

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  • Bernhard Dachs & Sabine Biege & Martin Borowiecki & Gunter Lay & Angela Jäger & Doris Schartinger, 2014. "Servitisation of European manufacturing: evidence from a large scale database," The Service Industries Journal, Taylor & Francis Journals, vol. 34(1), pages 5-23, January.
    • Handle: RePEc:taf:servic:v:34:y:2014:i:1:p:5-23
    DOI: 10.1080/02642069.2013.776543
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    Cited by:

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    6. Burton, Jamie & Story, Vicky M. & Raddats, Chris & Zolkiewski, Judy, 2017. "Overcoming the challenges that hinder new service development by manufacturers with diverse services strategies," International Journal of Production Economics, Elsevier, vol. 192(C), pages 29-39.
    7. Alberto de la Calle & Inmaculada Freije & Aitor Oyarbide, 2021. "Digital Product–Service Innovation and Sustainability: A Multiple-Case Study in the Capital Goods Industry," Sustainability, MDPI, vol. 13(11), pages 1-29, June.
    8. David Córcoles & Carmen Díaz-Mora & Rosario Gandoy & Ángela Triguero, 2023. "The role of servitization in international entrepreneurship: An analysis for Spanish manufacturing firms," Journal of International Entrepreneurship, Springer, vol. 21(2), pages 214-244, June.
    9. Freije, Inmaculada & de la Calle, Alberto & Ugarte, José V., 2022. "Role of supply chain integration in the product innovation capability of servitized manufacturing companies," Technovation, Elsevier, vol. 118(C).
    10. Lachiewicz Stefan & Matejun Marek & Pietras Paweł & Szczepańczyk Maciej, 2018. "Servitization as a Concept for Managing the Development of Small and Medium-sized Enterprises," Management, Sciendo, vol. 22(2), pages 80-94, December.
    11. Wang, Yanping & Gao, Jie & Wei, Zelong, 2022. "The double-edged sword of servitization in radical product innovation: The role of latent needs identification," Technovation, Elsevier, vol. 118(C).
    12. Friesenbichler, Klaus S. & Kügler, Agnes, 2022. "Servitization across countries and sectors: Evidence from world input-output data," Economic Systems, Elsevier, vol. 46(3).
    13. Capello, Roberta & Lenzi, Camilla, 2021. "Industry 4.0 and servitisation: Regional patterns of 4.0 technological transformations in Europe," Technological Forecasting and Social Change, Elsevier, vol. 173(C).
    14. Eileen Bridges, 2014. "What is truth?," The Service Industries Journal, Taylor & Francis Journals, vol. 34(1), pages 1-4, January.
    15. Antonioli, Davide & Berardino, Claudio Di & Onesti, Gianni, 2023. "The intersectoral linkages and manufacturing productivity growth in Italian regions using the I-O approach," Structural Change and Economic Dynamics, Elsevier, vol. 66(C), pages 120-133.
    16. Wei, Zelong & Huang, Wengao & Wang, Yanping & Sun, Lulu, 2022. "When does servitization promote product innovation? The moderating roles of product modularization and organization formalization," Technovation, Elsevier, vol. 117(C).
    17. Anzolin, Guendalina & Andreoni, Antonio & Zanfei, Antonello, 2022. "What is driving robotisation in the automotive value chain? Empirical evidence on the role of FDIs and domestic capabilities in technology adoption," Technovation, Elsevier, vol. 115(C).
    18. Alessandro Sarra & Claudio Berardino & Davide Quaglione, 2019. "Deindustrialization and the technological intensity of manufacturing subsystems in the European Union," Economia Politica: Journal of Analytical and Institutional Economics, Springer;Fondazione Edison, vol. 36(1), pages 205-243, April.
    19. Shah, Syed Aamir Ali & Jajja, Muhammad Shakeel Sadiq & Chatha, Kamran Ali & Farooq, Sami, 2020. "Servitization and supply chain integration: An empirical analysis," International Journal of Production Economics, Elsevier, vol. 229(C).

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