IDEAS home Printed from https://ideas.repec.org/a/eee/jbrese/v66y2013i5p593-602.html
   My bibliography  Save this article

Creating novel consumer value vs. capturing value: Strategic emphases and financial performance implications

Author

Listed:
  • Aspara, Jaakko
  • Tikkanen, Henrikki

Abstract

Business researchers have a growing interest in value creation perspectives to firm strategy. The present article provides a novel examination of the financial performance implications of strategic emphases on creating novel consumer value vs. capturing value, by taking a configuration approach to strategy. The empirical study examines the strategic orientations and financial performances of a sample of firms, from a survey of over 500 companies. The results indicate that a strategic emphasis on neither novel consumer value creation nor value capture has independent linear influence on profitable firm growth. Yet, the results also reveal that certain strategic configurations are more feasible than others, in terms of profitable growth. Among both large and small firms, firms with high emphasis on novel consumer value creation and low on value capture exhibited above-average profitable growth. A high emphasis on both novel consumer value creation and value capture, in turn, appears to be a feasible configuration for large firms but less feasible for small firms. The authors also examine the moderating effects of environmental turbulence.

Suggested Citation

  • Aspara, Jaakko & Tikkanen, Henrikki, 2013. "Creating novel consumer value vs. capturing value: Strategic emphases and financial performance implications," Journal of Business Research, Elsevier, vol. 66(5), pages 593-602.
  • Handle: RePEc:eee:jbrese:v:66:y:2013:i:5:p:593-602
    DOI: 10.1016/j.jbusres.2012.04.004
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0148296312001129
    Download Restriction: Full text for ScienceDirect subscribers only

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Joeri M. Mol & Nachoem M. Wijnberg & Charles Carroll, 2005. "Value Chain Envy: Explaining New Entry and Vertical Integration in Popular Music," Journal of Management Studies, Wiley Blackwell, vol. 42(2), pages 251-276, March.
    2. Jay B. Barney, 1986. "Strategic Factor Markets: Expectations, Luck, and Business Strategy," Management Science, INFORMS, vol. 32(10), pages 1231-1241, October.
    3. Lopez, Luis E. & Roberts, Edward B., 2002. "First-mover advantages in regimes of weak appropriability: the case of financial services innovations," Journal of Business Research, Elsevier, vol. 55(12), pages 997-1005, December.
    4. Manu, Franklyn A. & Sriram, Ven, 1996. "Innovation, marketing strategy, environment, and performance," Journal of Business Research, Elsevier, vol. 35(1), pages 79-91, January.
    5. Milgrom, Paul & Roberts, John, 1995. "Complementarities and fit strategy, structure, and organizational change in manufacturing," Journal of Accounting and Economics, Elsevier, vol. 19(2-3), pages 179-208, April.
    6. David J. TEECE, 2008. "Profiting from technological innovation: Implications for integration, collaboration, licensing and public policy," World Scientific Book Chapters,in: The Transfer And Licensing Of Know-How And Intellectual Property Understanding the Multinational Enterprise in the Modern World, chapter 5, pages 67-87 World Scientific Publishing Co. Pte. Ltd..
    7. Hoppe, Heidrun C., 2000. "Second-mover advantages in the strategic adoption of new technology under uncertainty," International Journal of Industrial Organization, Elsevier, vol. 18(2), pages 315-338, February.
    8. Jacobides, Michael G. & Knudsen, Thorbjorn & Augier, Mie, 2006. "Benefiting from innovation: Value creation, value appropriation and the role of industry architectures," Research Policy, Elsevier, vol. 35(8), pages 1200-1221, October.
    9. Reeves, Terrie C. & Duncan, W. Jack & Ginter, Peter M., 2003. "Strategic configurations in health services organizations," Journal of Business Research, Elsevier, vol. 56(1), pages 31-43, January.
    10. Simpson, Penny M. & Siguaw, Judy A. & Enz, Cathy A., 2006. "Innovation orientation outcomes: The good and the bad," Journal of Business Research, Elsevier, vol. 59(10-11), pages 1133-1141, October.
    11. Armstrong, J. Scott & Overton, Terry S., 1977. "Estimating Nonresponse Bias in Mail Surveys," MPRA Paper 81694, University Library of Munich, Germany.
    12. Mahoney, Joseph T., 1995. "The management of resources and the resource of management," Journal of Business Research, Elsevier, vol. 33(2), pages 91-101, June.
    13. Wagner, Stephan M. & Eggert, Andreas & Lindemann, Eckhard, 2010. "Creating and appropriating value in collaborative relationships," Journal of Business Research, Elsevier, vol. 63(8), pages 840-848, August.
    14. Hooley, Graham J. & Greenley, Gordon E. & Cadogan, John W. & Fahy, John, 2005. "The performance impact of marketing resources," Journal of Business Research, Elsevier, vol. 58(1), pages 18-27, January.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Arash Najmaei, 2016. "Revisiting The Modularity-Performance Nexus: Business Model Innovation As A Missing Mechanism," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 20(07), pages 1-41, October.
    2. Herhausen, Dennis, 2016. "Unfolding the ambidextrous effects of proactive and responsive market orientation," Journal of Business Research, Elsevier, vol. 69(7), pages 2585-2593.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jbrese:v:66:y:2013:i:5:p:593-602. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Dana Niculescu). General contact details of provider: http://www.elsevier.com/locate/jbusres .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.