This study draws on depth interviews with 49 managers in customer firms and 55 managers in supplier firms and on discussions with 21 managers in two focus groups to propose a new way of thinking about customer solutions. Extant literature and suppliers interviewed for this study view a solution as a customized and integrated combination of goods and services for meeting a customer's business needs. In contrast, customers view a solution as a set of customer–supplier relational processes comprising (1) customer requirements definition, (2) customization and integration of goods and/or services and (3) their deployment, and (4) postdeployment customer support, all of which are aimed at meeting customers' business needs. The relational process view can help suppliers deliver more effective solutions at profitable prices. In addition, field research suggests that the effectiveness of a solution depends not only on supplier variables but also on several customer variables. Supplier variables include c...

https://ink.library.smu.edu.sg/cgi/viewcontent.cgi?article=2054&context=lkcsb_research

Rethinking Customer Solutions: From Product Bundles to Relational Processes

Purpose – The purpose of this paper is to offer a critical analysis of the literature of solutions offerings; to provide a new conceptual framework, incorporating dimensions that can distinguish be ...

/pdf/solutions-offerings-a-critical-review-and-4j6k9emj1d.pdf

Solutions offerings : A critical review and reconceptualisation

Cognitive and Neural Bases of Multi-Attribute, Multi-Alternative, Value-based Decisions.

Suppliers in business-to-business settings are increasingly building a portfolio of multiple types of ties with individual customers. For example, in addition to supplying goods and services, a supplier may have a research-and-development alliance and a marketing alliance with a customer. This study investigates the effect of multiple types of ties with a customer on a supplier's performance with the customer. The findings from panel data on supplier–customer relationships suggest that an increase in the number of different types of ties with a customer results in an increase in supplier sales to the customer and a decrease in sales volatility to that customer. The effect of a change in relationship multiplexity (i.e., number of different types of ties) on the change in sales becomes weaker and its effect on the change in sales volatility becomes stronger as the competitive intensity in the customer's industry increases. The results also indicate that the effect of a change in the number of diffe...

https://faculty.fuqua.duke.edu/~moorman/Marketing-Strategy-Seminar-2015/Session%2010/Tuli,%20Bharadwaj,%20and%20Kohli.pdf

Ties That Bind: The Impact of Multiple Types of Ties with a Customer on Sales Growth and Sales Volatility

The behavioral literature provides ample evidence that consumer preferences are partly driven by the context provided by the set of alternatives. three important context effects are the compromise, attraction, and similarity effects. because these context effects affect choices in a systematic and predictable way, it should be possible to incorporate them in a choice model. However, the literature does not offer such a choice model. this study fills this gap by proposing a discrete-choice model that decomposes a product's utility into a context-free partworth utility and a context-dependent component capturing all three context effects. model estimation results on choice-based conjoint data involving digital cameras provide convincing statistical evidence for context effects. the estimated context effects are consistent with the predictions from the behavioral literature, and accounting for context effects leads to better predictions both in and out of sample. to illustrate the benefit from incor...

Incorporating Context Effects into a Choice Model

Kivetz, Netzer, and Srinivasan (2004) make an important contribution to the theory of choice models by demonstrating through a rigorous analysis of four alternative models that the compromise effect systematically affects choice in a wide range of conditions. The value and impact of their work can be enhanced by extensions that examine key underlying institutional variables that may shape the nature and scope of compromise effects. The authors provide a set of issues that further research can effectively pursue in the context of institutional buying processes and the purchase of complex solutions rather than individual products.

Toward Extending the Compromise Effect to Complex Buying Contexts

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Toward Extending the Compromise Effect to Complex Buying Contexts