Abstract
Since the early 1960s, many innovations on information technology-enabled services (IISs) that fulfill underserved customers and create competitive advantages for firms have been examined on the realization of their values. However, even with much theoretical promise, most IIS experiments have failed. Extant argumentsattribute this to initiatives, business models, institutional challenges, professions, sector characteristics, market segments or geographic locations. However, the issue on how to proactively manage the development, deployment and diffusion of new IT-enabled services still remains unclear. This study provides a comprehensive picture of (potential) challenges of IISs, explains how values and expenses are transformed within IIS projects. Moreover, we can conclude that elaborate IT-enabled services enable service-for-service exchanges and produce innovations and challenges. Nevertheless, successful IT-enabled services need not only toeliminate retardants from different levels-societal, industrial, organizational, group and individual, but also to maximize values while controlling expenses during theprocess of IISs. Key words: Service, service innovation, information technology-enabled service, proactive management, value.
Highlights
Innovations in information technology-enabled servicesIn the academic literature, service has been elaborated on by scholars from different perspectives and as the role of services becomes increasingly significant in today‟s economy, its fundamental definition has undergone evolutionary changes
Since the early 1960s, many innovations on information technology-enabled services (IISs) that fulfill underserved customers and create competitive advantages for firms have been examined on the realization of their values
This study provides a comprehensive picture of challenges of IISs, explains how values and expenses are transformed within IIS projects
Summary
Service has been elaborated on by scholars from different perspectives and as the role of services becomes increasingly significant in today‟s economy, its fundamental definition has undergone evolutionary changes. The firm may need to develop a favorable environment through some deliberate activities that, for example, help diffuse the new service with either greater benefits (for example resulting from a larger customer base) or lower costs (for example resulting from a more efficient diffusion process) in comparison with its competitors In this phase, expenses market, consisting of a variety of social/environmental, inter-organizational and managerial expenses, is required to improve ValueE. The firm is likely to have a high ExpenseF due to significant efforts in changing the management if top management wants to push the content production food chain of iTV services into fullscale implementation In both iTV cases, the following market challenges lead to a certain perception of a low ValueR and high ExpenseF regarding iTV service promoted by cable or terrestrial television companies.
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