IDEAS home Printed from https://ideas.repec.org/a/spr/svcbiz/v9y2015i3p381-407.html
   My bibliography  Save this article

Value network analysis for complex service systems: a case study on Taiwan’s mobile application services

Author

Listed:
  • Juite Wang
  • Jung-Yu Lai
  • Li-Chun Hsiao

Abstract

This paper aims to develop a service value network analysis approach based on system dynamics (SD) for analyzing the feedback structures that causes dynamic behavior of service value networks for value co-creation. The proposed approach defines the network objectives, identifies network actors and their interactions, builds SD models, conducts model tests, and evaluates possible policies that can be used to enhance the overall network performance. A case study of Taiwan’s mobile application services is used to illustrate the developed methodology. The developed methodology can help managers represent complex interactions and feedback structures of the service systems for value co-creation. In addition, decision makers can use the models to evaluate alternative scenarios for better understanding the system behavior that can improve the policy design and evaluation. Finally, we recommend that the case company should sense the market development of mobile application services continuously and improve its service quality on both user and developer sides relentlessly for sustaining its market growth. Copyright Springer-Verlag Berlin Heidelberg 2015

Suggested Citation

  • Juite Wang & Jung-Yu Lai & Li-Chun Hsiao, 2015. "Value network analysis for complex service systems: a case study on Taiwan’s mobile application services," Service Business, Springer;Pan-Pacific Business Association, vol. 9(3), pages 381-407, September.
    • Handle: RePEc:spr:svcbiz:v:9:y:2015:i:3:p:381-407
    DOI: 10.1007/s11628-014-0237-y
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1007/s11628-014-0237-y
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1007/s11628-014-0237-y?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Gruber, Harald & Verboven, Frank, 2001. "The evolution of markets under entry and standards regulation -- the case of global mobile telecommunications," International Journal of Industrial Organization, Elsevier, vol. 19(7), pages 1189-1212, July.
    2. Oecd, 2013. "The App Economy," OECD Digital Economy Papers 230, OECD Publishing.
    3. Jieun Kim & Yongtae Park & Chulhyun Kim & Hakyeon Lee, 2014. "Mobile application service networks: Apple’s App Store," Service Business, Springer;Pan-Pacific Business Association, vol. 8(1), pages 1-27, March.
    4. Soong Chung & Doo Jung & Seong Yoon & DonHee Lee, 2010. "A dynamic forecasting model for nursing manpower requirements in the medical service industry," Service Business, Springer;Pan-Pacific Business Association, vol. 4(3), pages 225-236, December.
    5. Pagani, Margherita & Fine, Charles H., 2008. "Value network dynamics in 3G-4G wireless communications: A systems thinking approach to strategic value assessment," Journal of Business Research, Elsevier, vol. 61(11), pages 1102-1112, November.
    6. Zhang, Xiang & Chen, Rongqiu, 2008. "Examining the mechanism of the value co-creation with customers," International Journal of Production Economics, Elsevier, vol. 116(2), pages 242-250, December.
    7. Frank M. Bass, 1969. "A New Product Growth for Model Consumer Durables," Management Science, INFORMS, vol. 15(5), pages 215-227, January.
    8. Katz, Michael L & Shapiro, Carl, 1985. "Network Externalities, Competition, and Compatibility," American Economic Review, American Economic Association, vol. 75(3), pages 424-440, June.
    9. Briscoe, Gerard & Keränen, Krista & Parry, Glenn, 2012. "Understanding complex service systems through different lenses: An overview," European Management Journal, Elsevier, vol. 30(5), pages 418-426.
    10. Key Pousttchi & Yvonne Hufenbach, 2011. "Value Creation in the Mobile Market," Business & Information Systems Engineering: The International Journal of WIRTSCHAFTSINFORMATIK, Springer;Gesellschaft für Informatik e.V. (GI), vol. 3(5), pages 299-311, October.
    11. Ng, Irene C.L. & Maull, Roger & Yip, Nick, 2009. "Outcome-based contracts as a driver for systems thinking and service-dominant logic in service science: Evidence from the defence industry," European Management Journal, Elsevier, vol. 27(6), pages 377-387, December.
    12. Kieliszewski, Cheryl A. & Maglio, Paul P. & Cefkin, Melissa, 2012. "On modeling value constellations to understand complex service system interactions," European Management Journal, Elsevier, vol. 30(5), pages 438-450.
    13. Kim, Byoungsoo, 2012. "The diffusion of mobile data services and applications: Exploring the role of habit and its antecedents," Telecommunications Policy, Elsevier, vol. 36(1), pages 69-81.
    14. Vargo, Stephen L. & Maglio, Paul P. & Akaka, Melissa Archpru, 2008. "On value and value co-creation: A service systems and service logic perspective," European Management Journal, Elsevier, vol. 26(3), pages 145-152, June.
    15. John D. Sterman & Rebecca Henderson & Eric D. Beinhocker & Lee I. Newman, 2007. "Getting Big Too Fast: Strategic Dynamics with Increasing Returns and Bounded Rationality," Management Science, INFORMS, vol. 53(4), pages 683-696, April.
    16. Zulima Fernández & Belén Usero, 2007. "The erosion of pioneer advantage in the European mobile telecommunications industry," Service Business, Springer;Pan-Pacific Business Association, vol. 1(3), pages 195-210, September.
    17. Peppard, Joe & Rylander, Anna, 0. "From Value Chain to Value Network:: Insights for Mobile Operators," European Management Journal, Elsevier, vol. 24(2-3), pages 128-141, April.
    18. Se-Joon Hong & James Y. L. Thong & Jae-Yun Moon & Kar-Yan Tam, 2008. "Understanding the behavior of mobile data services consumers," Information Systems Frontiers, Springer, vol. 10(4), pages 431-445, September.
    19. Vijay Mahajan & Eitan Muller & Frank M. Bass, 1995. "Diffusion of New Products: Empirical Generalizations and Managerial Uses," Marketing Science, INFORMS, vol. 14(3_supplem), pages 79-88.
    20. Mancuso, Paolo, 2012. "Regulation and efficiency in transition: The case of telecommunications in Italy," International Journal of Production Economics, Elsevier, vol. 135(2), pages 762-770.
    21. West, Joel & Mace, Michael, 0. "Browsing as the killer app: Explaining the rapid success of Apple's iPhone," Telecommunications Policy, Elsevier, vol. 34(5-6), pages 270-286, June.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Wang, Juite & Lai, Jung-Yu & Chang, Chih-Hsin, 2016. "Modeling and analysis for mobile application services: The perspective of mobile network operators," Technological Forecasting and Social Change, Elsevier, vol. 111(C), pages 146-163.
    2. Ke Rong & Yong Lin & Boyi Li & Thommie Burström & Lynne Butel & Jiang Yu, 2018. "Business ecosystem research agenda: more dynamic, more embedded, and more internationalized," Asian Business & Management, Palgrave Macmillan, vol. 17(3), pages 167-182, July.
    3. Robert Frost & Kelly Lyons, 2017. "Service Systems Analysis Methods and Components: A Systematic Literature Review," Service Science, INFORMS, vol. 9(3), pages 219-234, September.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Wang, Juite & Lai, Jung-Yu & Chang, Chih-Hsin, 2016. "Modeling and analysis for mobile application services: The perspective of mobile network operators," Technological Forecasting and Social Change, Elsevier, vol. 111(C), pages 146-163.
    2. Tolotti, Marco & Yepez, Jorge, 2020. "Hotelling-Bertrand duopoly competition under firm-specific network effects," Journal of Economic Behavior & Organization, Elsevier, vol. 176(C), pages 105-128.
    3. Hiroshi Kitamura, 2010. "Capacity Expansion In Markets With Inter‐Temporal Consumption Externalities," Australian Economic Papers, Wiley Blackwell, vol. 49(2), pages 127-148, June.
    4. Grajek, Michał & Kretschmer, Tobias, 2012. "Identifying critical mass in the global cellular telephony market," International Journal of Industrial Organization, Elsevier, vol. 30(6), pages 496-507.
    5. Alves, Helena & Fernandes, Cristina & Raposo, Mário, 2016. "Value co-creation: Concept and contexts of application and study," Journal of Business Research, Elsevier, vol. 69(5), pages 1626-1633.
    6. Emanuele Giovannetti & Mohsen Hamoudia, 2022. "The interaction between direct and indirect network externalities in the early diffusion of mobile social networking," Eurasian Business Review, Springer;Eurasia Business and Economics Society, vol. 12(4), pages 617-642, December.
    7. Soloviev, Vladimir, 2009. "Экономико-Математическое Моделирование Рынка Программного Обеспечения: Монография. — М.: Вега-Инфо, 2009. — 176 С [Economic and mathematical modelling of software market]," MPRA Paper 28974, University Library of Munich, Germany.
    8. Kumar Rakesh Ranjan & Stuart Read, 2016. "Value co-creation: concept and measurement," Journal of the Academy of Marketing Science, Springer, vol. 44(3), pages 290-315, May.
    9. Shim, Yongwoon & Lee, Heejin & Fomin, Vladislav, 2019. "What benefits couldn't ‘Joyn’ enjoy?," Technological Forecasting and Social Change, Elsevier, vol. 139(C), pages 125-134.
    10. Francesco Polese & Sergio Barile & Francesco Caputo & Luca Carrubbo & Leonard Waletzky, 2018. "Determinants for Value Cocreation and Collaborative Paths in Complex Service Systems: A Focus on (Smart) Cities," Service Science, INFORMS, vol. 10(4), pages 397-407, December.
    11. Torsten J. Gerpott & Sandra Thomas & Michael Weichert, 2014. "Usage of established and novel mobile communication services: Substitutional, independent or complementary?," Information Systems Frontiers, Springer, vol. 16(3), pages 491-507, July.
    12. Bing Jing, 2011. "Social Learning and Dynamic Pricing of Durable Goods," Marketing Science, INFORMS, vol. 30(5), pages 851-865, September.
    13. Scaglione, Miriam & Giovannetti, Emanuele & Hamoudia, Mohsen, 2015. "The diffusion of mobile social networking: Exploring adoption externalities in four G7 countries," International Journal of Forecasting, Elsevier, vol. 31(4), pages 1159-1170.
    14. Edgardo Arturo Ayala Gaytán, 2009. "Social network externalities and price dispersion in online markets," Ensayos Revista de Economia, Universidad Autonoma de Nuevo Leon, Facultad de Economia, vol. 0(2), pages 1-28, November.
    15. Frank M. Bass, 2004. "Comments on "A New Product Growth for Model Consumer Durables The Bass Model"," Management Science, INFORMS, vol. 50(12_supple), pages 1833-1840, December.
    16. Cecere, Grazia & Corrocher, Nicoletta & Battaglia, Riccardo David, 2015. "Innovation and competition in the smartphone industry: Is there a dominant design?," Telecommunications Policy, Elsevier, vol. 39(3), pages 162-175.
    17. Qin, Ruwen & Nembhard, David A., 2012. "Demand modeling of stochastic product diffusion over the life cycle," International Journal of Production Economics, Elsevier, vol. 137(2), pages 201-210.
    18. Toka, Agorasti & Iakovou, Eleftherios & Vlachos, Dimitrios & Tsolakis, Naoum & Grigoriadou, Anastasia-Loukia, 2014. "Managing the diffusion of biomass in the residential energy sector: An illustrative real-world case study," Applied Energy, Elsevier, vol. 129(C), pages 56-69.
    19. Kivi, Antero & Smura, Timo & Töyli, Juuso, 2012. "Technology product evolution and the diffusion of new product features," Technological Forecasting and Social Change, Elsevier, vol. 79(1), pages 107-126.
    20. Stefan N. Groesser & Niklas Jovy, 2016. "Business model analysis using computational modeling: a strategy tool for exploration and decision-making," Journal of Management Control: Zeitschrift für Planung und Unternehmenssteuerung, Springer, vol. 27(1), pages 61-88, February.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:svcbiz:v:9:y:2015:i:3:p:381-407. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.