Building greener motorhomes: How dual-purpose technical and relational capabilities affect component and full product innovation

Abstract

This study investigates how dual-purpose technical and relational capabilities influence two types of product innovation: component and full product. We consider product modification, manufacturing, supplier relationship, and customer relationship capabilities, analyzing their interactions and interrelationships through an inductive study set in the motorhome industry. We find patterns between capabilities and types of product innovations and then use a descriptive qualitative comparative analysis to refine and explore the nuances of these relationships, uncovering combinations of capabilities that enable and inhibit different types of product innovation. We thus provide empirical evidence for how dual-purpose capabilities are deployed dynamically, in that skills can be used in both the normal course of business and to create something new. Firms strive to innovate and create new full products and new components. Skills related to innovation include product modification, manufacturing, supplier management, and customer relations, all of which are also important for normal activities. While an adequate level of these capabilities can support the day-to-day business, a superior level is required to innovate. Our study of the motorhome industry indicates that supplier management is most important for component innovation and manufacturing expertise is most critical for full product innovation. However, we also find that a lack in some capabilities can be compensated for by superior capabilities in other areas, which could be important in situations of scarce resources and shows different possible paths toward product innovation.