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Innovation and business success: The mediating role of customer participation

  • Ngo, Liem Viet
  • O'Cass, Aron
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    Innovation and the customer participation are central issues in research focusing on the performance of firms. However, the current literature offers little guidance on the extent of connection between firm innovation capabilities and customer participation and how they work together to enhance the quality of services and drive firm performance. Drawing on the literature focusing on firm capabilities and relationship management particularly customer participation, this study proposes that customer participation may account for the effects of service firm innovation capabilities (both technical and non-technical) on service quality. Empirical evidence from 259 firms supports this proposition. In addition, the study also finds that service quality positively enhances firm performance.

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    File URL: http://www.sciencedirect.com/science/article/pii/S0148296312000938
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    Article provided by Elsevier in its journal Journal of Business Research.

    Volume (Year): 66 (2013)
    Issue (Month): 8 ()
    Pages: 1134-1142

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    Handle: RePEc:eee:jbrese:v:66:y:2013:i:8:p:1134-1142
    Contact details of provider: Web page: http://www.elsevier.com/locate/jbusres

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    6. Naresh K. Malhotra & Sung S. Kim & Ashutosh Patil, 2006. "Common Method Variance in IS Research: A Comparison of Alternative Approaches and a Reanalysis of Past Research," Management Science, INFORMS, vol. 52(12), pages 1865-1883, December.
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    8. Jiménez-Jiménez, Daniel & Sanz-Valle, Raquel, 2011. "Innovation, organizational learning, and performance," Journal of Business Research, Elsevier, vol. 64(4), pages 408-417, April.
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    10. Branzei, Oana & Vertinsky, Ilan, 2006. "Strategic pathways to product innovation capabilities in SMEs," Journal of Business Venturing, Elsevier, vol. 21(1), pages 75-105, January.
    11. Yi, Youjae & Nataraajan, Rajan & Gong, Taeshik, 2011. "Customer participation and citizenship behavioral influences on employee performance, satisfaction, commitment, and turnover intention," Journal of Business Research, Elsevier, vol. 64(1), pages 87-95, January.
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    13. Fariborz Damanpour & Richard M. Walker & Claudia N. Avellaneda, 2009. "Combinative Effects of Innovation Types and Organizational Performance: A Longitudinal Study of Service Organizations," Journal of Management Studies, Wiley Blackwell, vol. 46(4), pages 650-675, 06.
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