2: the non-key aspects of the information and
knowledge of the idea are tacit;
1: the greatest part of the information and
knowledge of the idea is not tacit.
For the third aspect, “non-transferability”,
regarding the first characteristic, “how much the use
of the idea fosters customers’ loyalty”, we have to
investigate the reasons that allow a firm aim to gain
customers’ loyalty.
Factors that determine that consumers make
most of their transactions in the same place are very
important in order to avoid substitutability.
Retaining customers is a financial imperative for any
e-commerce or e-business enterprise, especially as
attracting new customers is considerably more
expensive than for comparable, traditional, brick-
and-mortar stores. Understanding how to determine
a sense of loyalty in the final user remains one of the
crucial management issues. The development,
maintenance, and enhancement of customer loyalty
represent a fundamental marketing strategy for
attaining competitive advantage (Gould, 1995;
Kotler, 1988; Reichheld, 1993). It is important that
the partners of an economic relationship are
prepared to work at preserving it because it must
continue indefinitely (Morgan and Hunt, 1994).
To evaluate this characteristic we decided to assign
the meanings to the different values as follows:
5: customers’ loyalty is always fostered by the use
of the idea;
4: customers’ loyalty is fostered in most of the
cases by the use of the idea;
3: customers’ loyalty is fostered only under certain
conditions or due to particular sales promotions;
2: customers’ loyalty is fostered only during the
first period of the utilization by the final user;
1: customers’ loyalty is not fostered at all by the
use of the idea.
For the third aspect, “non-transferability”,
regarding the second characteristic, “how much the
idea is customized or customizable by the final
users”, we have to better specify the concept of
“customization”. The term mass customization was
coined by Stan Davis (1997) who predicted that the
more a company was able to deliver customized
goods on a mass basis, relative to their competition,
the greater would be their competitive advantage, a
view supported by Pitt, Bertham and Watson (1999),
and Duray and Milligan (1999). Pine, Victor and
Boynton (1993) describe the synergy of mass
customization and continuous improvement as a
‘new’ competitive strategy to challenge ‘old’
strategies such as mass production. Hart and Taylor
(1996) offer an operational definition: ‘Mass
customization is the use of flexible processes and
organizational structures to produce varied and often
individually customized products and services at the
price of standardized, mass produced alternatives’.
The concepts of flexibility, timeliness and variety
are essential to the notion of mass customization. It
is determining what the customer really needs and
attempting to respond quickly with an offering
which costs to the customer relatively little more
than standardized, mass produced alternatives’
(Duray & Milligan, 1999). So mass customization is
a firm’s ability to meet specific customer
requirements en masse, yet at a low cost, which
rivals mass production capabilities.
To evaluate this characteristic we decided to assign
the meanings to the different values as follows:
5: the idea can be deeply customized by the final
user;
4: the idea can be customized in many key aspects
without restrictions by the final user;
3: the idea can be customized in a restricted and
fixed number of key aspects;
2: the idea can be customized only in a restricted
and fixed number of non-key aspects;
1: the idea is not customized not even customizable
by the final user.
For the fourth aspect, “innovation &
differentiation with respect to the existing
competitors”, regarding the first characteristic, “how
many complementary and successful ideas exist”,
we have to determine if an idea could have the
possibility to gain a competitive advantage. To do so
it has to be compared with the other ideas in the
same economic field. The greater the number of
competitor is, the most difficult could be to emerge
in a specified market. This is enhanced above all if
the complementary ideas are successful ones. It is
not simple to gain a slice of the market if many
similar and successful ideas exist.
To evaluate this characteristic we decided to assign
the meanings to the different values as follows:
5: it does not exist any similar idea;
4: a number between one and two of successful
similar ideas exist;
3: a number between three and six of successful
similar ideas exist;
2: a number between six and eight of successful
similar ideas exist;
1: many similar and successful ideas exist.
For the fourth aspect, “innovation&differentiation
with respect to the existing competitors”, regarding
the second characteristic, “how much the approach
is different from the existing ones”, we have to
observe the approach of the idea and to compare it
with the other approaches that characterize the other
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