Creating New Markets Through Service Innovation.

by Leonard L. Berry
MIT Sloan Management Review. Winter2006
  • ISSN: 1532-9194


The article presents guidelines on how companies should approach market-creating service innovation. Most improvements to service activities are incremental. These improvements, though useful and necessary, are limited in the kind of returns they can produce. Companies are advised to look for innovative ways to put customers in control of how they access a desired service. Included in the factors that lead to market-creating service innovations are a scalable business model, comprehensive customer-experience management, investment in employee performance, and brand differentiation.

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