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Client profitability of diffusion segments across countries for multi-generational innovations: The influence of firm, market, and cross-national differences

Ashish Sood and V Kumar ()
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Ashish Sood: University of California Riverside
V Kumar: Georgia State University

Journal of International Business Studies, 2018, vol. 49, issue 9, 1237-1262

Abstract: Abstract There is scant research on the important managerial question of how to maximize returns on investments in either international business or international marketing literature. We propose and test a conceptual framework using data from a large technology manufacturer-service provider. Despite early adoption by innovators and early adopters, the early majority segment is most profitable. However, the late majority segment and the early adopters segment are the next most profitable in the developed and emerging countries, respectively. We propose a decision support framework incorporating cross-national distances on single-generation and multi-generation profitability for MNEs offering multi-generational products in multinational markets to be more profitable.

Keywords: profitability; new product adoption; successive product generation; developed and emerging countries; diffusion of innovation (search for similar items in EconPapers)
Date: 2018
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