Research article — Entry mode diversity and closing commercial deals with international customers: The moderating role of advanced servitization
published on 23.10.23
Article rank 3 by Waleed Shleha, Ferran Vendrell-Herrero, Yancy Vaillant
Published in the journal: International Business Review
The Internationalization Paradox Faced by Service Manufacturers
In today’s manufacturing landscape, servitization and the provision of service-augmented solutions have become increasingly important for manufacturers. However, navigating the internationalization challenges specific to advanced service providers requires a nuanced approach.
This study addresses the internationalization paradox faced by service manufacturers, particularly those offering hybrid products and services. The aim is to understand the various entry modes available to these advanced service providers as they expand into global markets.
Research Data from a Multinational High-Tech Optics Company
The results of the study strongly support the idea that advanced servitization manufacturers can enhance their internationalization success by embracing entry mode diversity. Notably, when advanced Our research draws on transaction-level data obtained from a Poland-based multinational high-tech optics company specializing in product-service systems. Specifically, we analyzed 1,885 potential servitized product sales negotiations that were concluded in 2018.
The Role of Knowledge-Intensive Servitization
The results of the study strongly support the idea that advanced servitization manufacturers can enhance their internationalization success by embracing entry mode diversity. Notably, when advanced knowledge-intensive servitization is integrated into the negotiation process, the positive impact of diverse entry modes on the success of sales operations in foreign markets is amplified.
In conclusion, this research sheds light on the strategic importance of entry mode diversity and knowledge-intensive servitization for advanced service providers seeking to conquer international markets. By adopting these approaches, manufacturers can position themselves for greater success in the global arena.
For those interested in this topic, on November 10 will take place in TBS Education Barcelona campus, the 10th International Conference on Business Servitization (ICBS 2023).
Yancy Vaillant is the supervisor of the Digital and Social Entrepreneurship track taught in Barcelona in the third year of the Bachelor in Management. This is one of the specializations that you can choose in this last year. This specialization offers an interdisciplinary approach (Finance, Marketing, Operations, Human Resources…) to know the different aspects of entreprenuership