- مبلغ: ۸۶,۰۰۰ تومان
- مبلغ: ۹۱,۰۰۰ تومان
There is a paradox experienced by manufacturing firms attempting to servitize that their substantial investment in adding services to the existing product portfolio does not bring expected higher returns. The purposes of this paper are to gain more understanding as to the servitization status in Zhejiang Province of China and the influence of servitization on business performance of manufacturers. We conduct a regression analysis based on 134 listed manufacturing firms in 12 sectors in Zhejiang Province of China in 2012. Our results show that there is a significant positive relationship between servitization and business performance for manufacturing firms in Zhejiang; a Ushape relationship between servitization and profit per capita of firms is identified. In addition, the strategy of servitization is more suitable for larger firms and the effect of servitization in boosting business performance becomes more prominent once servitization has grown beyond certain threshold.
The above empirical results give us the following implications. First, there still is great space for manufacturing servitization in Zhejiang Province. Our empirical analysis suggests that the service quantity's erosion to per capita profit only starts to diminish when service quantity exceeds 2 and the positive contribution of service quantity to per capita profit begins to show when service quantity is further increased to around 4. Currently, the average service quantity of manufacturing firms in Zhejiang is 2.1, indicating great room for the development of manufacturing servitization. Continuous endeavor is still indispensible in order to reap the rewards of servitization.