Growing Negative Services Harvard Case Solution & Analysis

When people think of the services, they often think about the proposals, which are neutral or routine. They tend to be the services that they use regularly - for example, dry cleaners, hair salons, or gardening. However, there is a third type of service that is not often considered or well understood. The authors refer to them as "negative" services because they relate to events most people, I hope they will not have to deal with: a toothache, leaky roofs, repair or collision, for example. Because the events that trigger the need for negative services are not common, many people are not able to diagnose the needs and to make informed decisions about the necessary decisions, in addition, even after the service has been provided, most people are in a poor position to judge him the quality or the price they paid for it. Many types of companies in many industries, including healthcare, insurance, home repairs, pest control, and emergency use, offer negative services. Companies hoping to build positions in the negative services are faced with two major challenges: how to get access to the inexperienced customers who are not in a strong position to evaluate the service provided and can have a vague idea of ​​its value, as well as how to organize and expand its services to meet the needs of customers when demand is unpredictable. "Hide
by Ivor Morgan, Jay Rao Source: MIT Sloan Management Review 8 pages. Publication Date: April 1, 2006. Prod. #: SMR206-PDF-ENG

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