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Capabilities for providing socially beneficial services to consumers in low-income markets

Heiko Gebauer, Mirella Haldimann and und Caroline Jennings Saul

SMR - Journal of Service Management Research, 2018, vol. 2, issue 1, 16-27

Abstract: Providing socially beneficial services to people living close to the poverty line is an exceptionally complex task, due to limited disposable income for such services and little knowledge to understand the actual service benefits. In addition, service providers face capability constraints to provide these types of services. This article examines capabilities for providing services to consumers in low-income markets. Based on a multiple case study on providing drinking water as a service, we show that service providers require three capabilities: (a) adapting the service operation model, (b) converting latent customer needs into value-added services, and (c) extending the customer portfolio. These capability descriptions advance previous capability descriptions about services for low-income consumers.

Date: 2018
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DOI: 10.15358/2511-8676-2018-1-16

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SMR - Journal of Service Management Research is currently edited by Prof. Dr. Marion Büttgen, Prof. Dr. Andreas Eggert, Prof. Dr. Heiner Evanschitzky, Prof. Dr. Christiane Hipp, Prof. Dr. Jens Hogreve, Prof. Dr. Joachim Hüffmeier, Prof. Dr. Helmut Krcmar and Prof. Dr. Martin Matzner

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