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Abstract

This article reviews a central tension in management - the relationship between customers and innovation. It explores the contrast between serving and creating customers and examines the sometimes uneasy relationship between an innovation orientation and a customer orientation. From this discussion, the article develops a model that provides an inclusive paradigm of the different strategies that firms have used to resolve the tension and explores the dynamics of the change process for several well known companies. It concludes by developing the managerial implications of the model, with particular emphasis on how new technology is changing the desirability of alternative strategies.

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Abstract

This article reviews a central tension in management - the relationship between customers and innovation. It explores the contrast between serving and creating customers and examines the sometimes uneasy relationship between an innovation orientation and a customer orientation. From this discussion, the article develops a model that provides an inclusive paradigm of the different strategies that firms have used to resolve the tension and explores the dynamics of the change process for several well known companies. It concludes by developing the managerial implications of the model, with particular emphasis on how new technology is changing the desirability of alternative strategies.

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