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Explicating Open Innovation Using Service-Dominant Logic: Strategic Implications

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  • Nila Armelia Windasari

    (School of Business and Management, Institut Teknologi Bandung, Indonesia)

  • Fu-ren Lin

    (Institute of Service Science, National Tsing Hua University, Taiwan)

Abstract

This article conceptualizes open innovation using service system view and service-dominant logic (S-DL) to specify the generic characteristics of open innovation of service, which eliminates the discrepancy of open innovation between product and service. The main objective is to explicate the tripartite framework proposed by Lusch and Nambisan into six generic characteristics to serve as vocabulary in formulating open innovation of service strategies. The business cases are categorized by 2x2 grid according to the institutionalization of actors into the service ecosystems. There are six essential characteristics of open innovation of service grounded in S-D logic: (1) interaction within and among service systems, (2) integration of operand and operant resources, (3) open platform, (4) exchange mechanism, (5) value proposition, and (6) network of actors. To summarize, the strategies are formulated using the six characteristics for each category of business in three layers, micro, meso, macro, to sustain the practice of open innovation in various industries.

Suggested Citation

  • Nila Armelia Windasari & Fu-ren Lin, 2021. "Explicating Open Innovation Using Service-Dominant Logic: Strategic Implications," International Journal of Service Science, Management, Engineering, and Technology (IJSSMET), IGI Global, vol. 12(2), pages 78-98, March.
    • Handle: RePEc:igg:jssmet:v:12:y:2021:i:2:p:78-98
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