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Digital Business Model Innovation: Implications for Offering, Platform and Organization

In: Digital Business Models

Author

Listed:
  • Johan Simonsson

    (KTH Royal Institute of Technology)

  • Mats Magnusson

    (KTH Royal Institute of Technology)

Abstract

Simonsson and Magnusson address a range of issues facing original equipment manufacturers (OEMs) using digital technologies as a means for increasing the service part of their offerings. Digitalization enables manufacturing companies to pursue new strategies where various services are bundled with products to support customers in a larger part of their businesses and operations, often referred to as servitization. Such a transition is of interest for OEMs as it allows them to target a bigger area of the customer business and builds closer customer contact. This chapter identifies and explores a number of fundamental challenges related to this type of digital business model innovation, more specifically customer interaction, offer delivery, platform strategies and organization, based on a case study from the Swedish company Husqvarna.

Suggested Citation

  • Johan Simonsson & Mats Magnusson, 2019. "Digital Business Model Innovation: Implications for Offering, Platform and Organization," Springer Books, in: Annabeth Aagaard (ed.), Digital Business Models, chapter 6, pages 147-168, Springer.
    • Handle: RePEc:spr:sprchp:978-3-319-96902-2_6
    DOI: 10.1007/978-3-319-96902-2_6
    as

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