PAPER TITLE :OPPORTUNITIES AND BARRIERS OF INNOVATIVE “OPERATING BUSINESS” MODELS IN B2B MARKETING

FUTA JOURNAL OF MANAGEMENT AND TECHNOLOGY | VOLUME 2 NUMBER 1 2017

Paper Details

  • Author(s) : T. Baaken and A. L. Schmidt
  • Abstract:

From a traditional perspective, the core competencies of suppliers of industrial goods are to develop, produce and market products. In addition, complementary services such as e.g. staff training and maintenance are offered as “Add on Services”. On the client side, such industrial goods are transferred to their ownership and operated using their own competencies and resources. Due to the changing general conditions, this division is reconsidered. E.g. options of process outsourcing, the outsourcing of entire areas and the management of the entire production processes in the context of Build and Operate (B+O) models are considered and more and more realised. Those solutions demonstrate new models in service innovation. This paper thoroughly reviews the scarce available literature, to identify opportunities and barriers of such Operating Business models. A structure will be developed to decide evidence based whether Operating Business models are adequate on industrial markets. For this purpose, the market of Business-to-Business (B2B) is defined by definition and developments are shown. Discussing Operating Business models, this paper focuses on business models between companies, including the relationship between companies and NGOs. Operating Business models between industry and public contractors are excluded.
Key Words: Business Model Innovation, New Business Models, Service as a Business, Operating Business Model, Service Innovation, Hybrid Value Creation