Managing Services Business for Markets: a Case Study of Marel
Managing services business for markets: A Case study of Marel
Karlstad Business School
Handelshögskolan vid Karlstads Universitet
Course code: FEAD51 Course name: Industrial Marketing Title: Managing services for business markets: A ase study of Marel C Date of Submission: 2013-03-04 Family name
Shurrab El Bouassami
Given name
Hafez Mohammed
Name of the teacher: Maria Åkesson Name of the administrator: Frania Johansson
TABLE OF CONTENTS
1. 2. 3. 4. 5. 6. INTRODUCTION ..........................................................................................................- 1 BACKGROUND ............................................................................................................- 1 THEORY ........................................................................................................................- 1 ANALYSIS .....................................................................................................................- 2 CONCLUSIONS.............................................................................................................- 4 REFERENCES ...............................................................................................................- 5 -
I
1. INTRODUCTION
Nowadays, customers of capital goods (B2B) require more and more value-adding activities from their suppliers. That prompts industrials, in order to retain their final customers’ loyalty, focus on offering a range of value-added services centered on or around their core products. The main purpose of doing so is to improve the overall performance of the customer’s value systems. Such services create new source of revenue for suppliers, and therefore affect their profits positively in the long term. In most cases, service products are intangible even though they could have a physical appearance (Tidd & Hull, 2002). In B2B markets, manufacturers always offer at least minimum services to convince their customers to buy their
Karlstad Business School
Handelshögskolan vid Karlstads Universitet
Course code: FEAD51 Course name: Industrial Marketing Title: Managing services for business markets: A ase study of Marel C Date of Submission: 2013-03-04 Family name
Shurrab El Bouassami
Given name
Hafez Mohammed
Name of the teacher: Maria Åkesson Name of the administrator: Frania Johansson
TABLE OF CONTENTS
1. 2. 3. 4. 5. 6. INTRODUCTION ..........................................................................................................- 1 BACKGROUND ............................................................................................................- 1 THEORY ........................................................................................................................- 1 ANALYSIS .....................................................................................................................- 2 CONCLUSIONS.............................................................................................................- 4 REFERENCES ...............................................................................................................- 5 -
I
1. INTRODUCTION
Nowadays, customers of capital goods (B2B) require more and more value-adding activities from their suppliers. That prompts industrials, in order to retain their final customers’ loyalty, focus on offering a range of value-added services centered on or around their core products. The main purpose of doing so is to improve the overall performance of the customer’s value systems. Such services create new source of revenue for suppliers, and therefore affect their profits positively in the long term. In most cases, service products are intangible even though they could have a physical appearance (Tidd & Hull, 2002). In B2B markets, manufacturers always offer at least minimum services to convince their customers to buy their
References: Literature Sources: Hutt,M.D.andSpeh,T.W.(2004).“Business Marketing Management: A Strategic View of Industrial and Organizational Markets”, 8th edition, Fort Worth TX: Dryden Lytle, R.S., and Timmerman, J.E. (2006). “Service orientation and performance: an organizational perspective”, Journal of Services Marketing, 20/2, pp. 136–147. Tidd, J. and Hull, F. (2002). “Introduces and tests a framework for new service development in the US and UK”.Theorganizationofnewservicedevelopmentinthe USA and UK, SPRU Science and Technology Policy Research - University of Sussex. Vargo, S. L. and Lusch, L. F. (2004), “Evolving to a New Dominant Logic for Marketing”. Electronic Sources: Marel (2013). The company. Available: http://www.marel.com/company/company/ [2013-03-02]. -5-