earticle

영어

Recognizing that they cannot take a competitive edge over their rivals in the market by selling products for profit, manufacturing companies are making active use of servitization to combine products with service to generate new profit. Previous studies on servitization are, however, limited to the case study of big corporations with capital, which means that their cases put limits on benchmarking by SMEs. This study set out to observe the process of servitization through the analysis of SME cases and conduct quantitative and qualitative analysis of servitization at SMEs, thus figuring the characteristics and strategic implications of their servitization. Analyzed in the study were five companies, which include Kyungdong Navien, iloom, Aurora World, Epik System, and Golfzon. Their case analysis results indicate that SMEs should pursue the following servitization strategies: first, they should contemplate over the organic fusion of service and product since the amount of service is not proportionate to the quality of servitization; secondly, they should base their servitization on their core technologies and products; and finally, they should generate profit with a comprehensive strategy to create a competitive edge through servitization and enter the global markets.