Boundary concepts as facilitators of market shaping
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1 Forum on Markets and Marketing 2012 (FMM12) Auckland, New Zealand December 10-12, 2012 Boundary concepts as facilitators of market shaping Suvi Nenonen Hanken School of Economics, Finland Kaj Storbacka University of Auckland, New Zealand
2 Background to the study Nenonen, S. & Storbacka, K. (2010). Business model design: conceptualizing networked value co-creation. International Journal of Quality and Service Sciences. Storbacka, K. & Nenonen, S. (2011a). Markets as configurations. European Marketing Journal. Storbacka, K. & Nenonen, S. (2011b). Scripting markets: from value propositions to market propositions. Industrial Marketing Management. Storbacka, K. & Nenonen, S. (2012). Competitive arena mapping: market innovation using morphological analysis. Journal of Business-to-Business Marketing Storbacka, K. & Nenonen, S. (201?). From learning about the market to learning with the market. Nenonen, S. & Storbacka, K. (201?). On the marketness of markets: how networked markets evolve and facilitate value cocreation.
3 Context of the study: market shaping Network level Market practices Market reality Actor s market shaping power Market representations Actor level Market practices
4 Context of the study: market shaping Network level Market practices Market reality Actor s market shaping power Market representations Actor level Market practices Boundary concepts
5 Boundary objects in literature Star and Griesemer (1989): Boundary objects Roots in the sociological tradition of symbolic interactionism Concrete or conceptual objects that inhabit several intersecting social worlds and satisfy the information requirements of each Different meanings in different social contexts but common enough structure means of translation and bringing coherence across intersecting social context
6 Concrete and conceptual boundary objects Boundary objects Concrete boundary objects (research): Product and services (Finch & Geiger 2011) Sales people as boundarians (Fries 2008) + contracts & ERP systems in B2B relationships (Easton & Mason 2009) Boundary concepts (examples): Uncommon disorders rare diseases (Huyard 2009) Non fast food slow food Kemira: chemicals water quality and quantity management KONE: elevators & escalators People Flow
7 Concrete and conceptual boundary objects Boundary objects Concrete boundary objects (research): Product and services (Finch & Geiger 2011) Sales people as boundarians (Fries 2008) + contracts & ERP systems in B2B relationships (Easton & Mason 2009) Boundary concepts (examples): Uncommon disorders rare diseases (Huyard 2009) Non fast food slow food Kemira: chemicals water quality and quantity management KONE: elevators & escalators People Flow Preliminary case studies
8 Case Kemira Clarifying the strategy and attracting partners with a boundary concept WQQM = Water Quality and Quantity Management 2008 Water strategy announced 2009 Cleantech Finland 2009 Center of Water Efficiency Excellence 2010 Outotec cooperation
9 Case Kemira Boundary concept also adopted by the investor community
10 Case KONE Widening the offering and fighting commoditization with a boundary concept
11 Some concluding thoughts (from a partially managerial viewpoint ) Managerial tool Used consciously by managers to shape markets and intuitively, not building on definite frameworks Network mobilization Effective in creating networks and giving them a common meaning Market definition In many examples the boundary concept is the same as the firm s market definition / picture Generic SD- logic driven The boundary concepts of the case firms are generic in nature also available to competitors Kemira and KONE are examples of boundary concepts that focus on service instead of the product ( not the product, but what the product makes possible )
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