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Exploring the Benefits of Productization in the Utilities Sector

Author

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  • Valerio Elia

    (Department of Innovation Engineering, University of Salento, 73100 Lecce, Italy)

  • Maria Grazia Gnoni

    (Department of Innovation Engineering, University of Salento, 73100 Lecce, Italy)

  • Fabiana Tornese

    (Department of Innovation Engineering, University of Salento, 73100 Lecce, Italy)

Abstract

The adoption of Product–Service Systems (PSS) in a business strategy is often mainly associated with the servitization process, where a service component is added to the product component in order to improve the value proposition of the company and better satisfy the customer’s needs. The productization phenomenon is far less studied in literature, but growingly prominent in today’s market. In particular, companies in the utilities sector have been exploring the potentialities of productization and proposing new business models for improving their offer to the customers, in order to be more and more competitive on the market. In this paper, we provide a first analysis and classification of productization strategies in the utilities sector, starting from experiences in the Italian market, with the aim of understanding which can be the main benefits of a PSS approach in this field, considering the effects on the three dimensions of sustainability (economic, environmental, and social).

Suggested Citation

  • Valerio Elia & Maria Grazia Gnoni & Fabiana Tornese, 2019. "Exploring the Benefits of Productization in the Utilities Sector," Sustainability, MDPI, vol. 11(20), pages 1-11, October.
    • Handle: RePEc:gam:jsusta:v:11:y:2019:i:20:p:5864-:d:279119
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    References listed on IDEAS

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    1. Wirtz, Jochen & Fritze, Martin P. & Jaakkola, Elina & Gelbrich, Katja & Hartley, Nicole, 2021. "Service products and productization," Journal of Business Research, Elsevier, vol. 137(C), pages 411-421.

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