Service Value Chains and Effects of Scale

B. Nooteboom

Research output: Working paperDiscussion paperOther research output

30 Citations (Scopus)

Abstract

This paper generalizes Porter’s notion of the value chain for the analysis of service industries. The generalization entails that the flow and the physical transformation and assembly of goods that are characteristic of manufacturing are generalized into flows and transformation of data and flows and transformation of the physical and mental condition of people that are characteristic of many service industries. Utility is generalized from utilities of forms and function of goods, characteristic of manufacturing, to utilities of time, place, convenience, speed, safety, entertainment, physical and mental wellbeing, knowledge and mental capacity, funding and assurance. The analysis yields a categorization of industries according to central features of the value adding process. Here, the analysis is used to identify sources of (in)efficiency of scale, scope and experience, along the value chain.
Original languageEnglish
Place of PublicationTilburg
PublisherOrganization
Number of pages25
Volume2007-3
Publication statusPublished - 2007

Publication series

NameCentER Discussion Paper
Volume2007-3

Keywords

  • Service industries
  • production structure
  • economy of scale

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