Servitisation of the manufacturing industry in Japan
Servitisation of the manufacturing industry in Japan

Summary/Abstract: The recent decline in the profitability of Japanese manufac‑ turers has led to ‘service innovation’ or servitisation – the development of advanced service businesses utilising infor‑ mation technology. this study analyses 13,322 companies in the Japanese manufacturing industry and finds that servitisa‑ tion contributes to their profitability. the major difference be‑ tween servitisation companies and others is that the former sell products to end consumers. We examine two case stud‑ ies of companies which have built mechanisms to facilitate continuous service provision.

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