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Innovating for Loyalty - Examining service innovations and brand loyalty through the theory of ambidextrous organisations

Berglund, Daniel LU and Byberg, Andreas LU (2016) BUSN39 20161
Department of Business Administration
Abstract
Purpose of study: As both innovations and brand loyalty are becoming ever more important for companies today, it is of importance to understand how an organisation can handle the relationship between the explorative and exploitative units when working with these two constructs. The ultimate aim is to understand how service organisations can be managed in order to enhance brand loyalty through service innovations.

Theoretical framework: Previous literature within the area of service innovations and brand loyalty is compiled in order to understand which factors that are of importance to take in consideration when innovating and in order to achieve and build brand loyalty. The theory of ambidextrous organisations is also used to broaden... (More)
Purpose of study: As both innovations and brand loyalty are becoming ever more important for companies today, it is of importance to understand how an organisation can handle the relationship between the explorative and exploitative units when working with these two constructs. The ultimate aim is to understand how service organisations can be managed in order to enhance brand loyalty through service innovations.

Theoretical framework: Previous literature within the area of service innovations and brand loyalty is compiled in order to understand which factors that are of importance to take in consideration when innovating and in order to achieve and build brand loyalty. The theory of ambidextrous organisations is also used to broaden the view of how to work with exploration and exploitation simultaneously.

Method: In order to successfully explore the purpose of this study and answer the proposed research questions, a qualitative single case study on the service company Fritidsresor AB is done. Interviews are used as research method and six (6) respondents from different departments of the company are included in the study through snowball sampling. They contribute to the understanding of the entire innovation process at the case company, which is vital for the investigation of the purpose of the thesis.

Conclusion: To handle seemingly contradicting demands of both working with innovation and brand loyalty, organisations do well to not separate units working with these two activities. A customer-centric approach where involvement from various stakeholders facilitate the dual focus that triggers a number of loyalty drivers. This must however be enabled by a strong top management support, a clear innovation strategy and an organisational structure that allows for continuous exploration and exploitation. (Less)
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author
Berglund, Daniel LU and Byberg, Andreas LU
supervisor
organization
course
BUSN39 20161
year
type
H1 - Master's Degree (One Year)
subject
keywords
Innovations, Service Innovations, Brand Loyalty, Ambidextrous Organisations
language
English
id
8875746
date added to LUP
2016-06-22 13:51:33
date last changed
2016-06-22 13:51:33
@misc{8875746,
  abstract     = {Purpose of study: As both innovations and brand loyalty are becoming ever more important for companies today, it is of importance to understand how an organisation can handle the relationship between the explorative and exploitative units when working with these two constructs. The ultimate aim is to understand how service organisations can be managed in order to enhance brand loyalty through service innovations.

Theoretical framework: Previous literature within the area of service innovations and brand loyalty is compiled in order to understand which factors that are of importance to take in consideration when innovating and in order to achieve and build brand loyalty. The theory of ambidextrous organisations is also used to broaden the view of how to work with exploration and exploitation simultaneously.

Method: In order to successfully explore the purpose of this study and answer the proposed research questions, a qualitative single case study on the service company Fritidsresor AB is done. Interviews are used as research method and six (6) respondents from different departments of the company are included in the study through snowball sampling. They contribute to the understanding of the entire innovation process at the case company, which is vital for the investigation of the purpose of the thesis.

Conclusion: To handle seemingly contradicting demands of both working with innovation and brand loyalty, organisations do well to not separate units working with these two activities. A customer-centric approach where involvement from various stakeholders facilitate the dual focus that triggers a number of loyalty drivers. This must however be enabled by a strong top management support, a clear innovation strategy and an organisational structure that allows for continuous exploration and exploitation.},
  author       = {Berglund, Daniel and Byberg, Andreas},
  keyword      = {Innovations,Service Innovations,Brand Loyalty,Ambidextrous Organisations},
  language     = {eng},
  note         = {Student Paper},
  title        = {Innovating for Loyalty - Examining service innovations and brand loyalty through the theory of ambidextrous organisations},
  year         = {2016},
}