Hassan Sherwani ROLE OF SALES AND MARKETING IN ... - Oulu

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64 customers within municipalities seem loyal to their local companies and have a positive tendency to buy electricity from their home company. Moreover, the case company has a very strong brand in Northern Finland which allows it to compete against any other company. The case company realizes the pressure from international companies as more and more multi-national companies are emerging within Finnish market. This strength of brand may help company for its future global venture where networks might play a key role. The mind setup of case company is very much local. It is very important to realize the challenges coming from other competitors. The internationalization has been taken as a negative notion at least in Oulun Sähkömyynti Oy. The pessimist approach towards internationalization has been described by Tuomi and Lehto (2013), “If we (as company) get the chance to get ten customers towards international market then we have a probability to lose our eleven customers”. It is very typical in a homogeneous culture such as Finland to remain in comfort zone. World is changing for good or bad reasons and there must be some serious strategy needed by Oulun Energia for internationalization. It is worth mentioning that there is a future plan for few exciting international ventures however, there is no clear road map to achieve that goal yet. In the next section, there is a brief discussion about value creation and value co-creation which could break this stagnancy in case company. Moreover, there is transition from production oriented view to service oriented view which in consequence transforms resource based view (traditional Uppsala Model proposed by Johanson and Vahlne, 1977) to knowledge based view. All these factors play their own role for internationalization and therefore, process of globalization partly depends on these factors. 5.2.2 Transformation from Value Creation to Value Co-creation As discussed earlier in chapter 3-section 3.2.2, co-creation of value concept does not abolish value creation process rather it complements it. The role of company used to be value creating party for customers. On the other hand, customers were only receiving party. This fact comes true to electricity business as well. The role of customer in distribution business was to bring revenue for the distribution company. This is not the case anymore thanks to emergences of new technologies, customers now have the liberty
65 to seek more control in their energy usage in order to conserve energy, save money and reduce the negative impact of energy on environment. They are not only more demanding but, they have something to offer with the advance technology. Some of the typical elements for consumer offerings are demand response, load profile flexibility and distributed power and storage. As highlighted by interviewee (Sutinen, 2013), offerings of Oulun Sähkömyynti Oy have been diverse with information on energy consumption, customer demographic and behavioral information, and access to personal networks or connections for marketing purposes. Moreover, there are the new sources of revenue generation in modern electricity distribution business. Though the customers take decisive steps towards more control through the development of smart grid infrastructure through which information like quantity, frequency and quality of data can be contributed. However, this contribution of customer is limited up to certain level due to regulatory constraints. There is great emergence and need of devices, softwares, services and platforms to capture, analyze and present this information to customers (Valocchi et al., 2010). Due to high likelihood of increasing demand for control of customer through information and technology, there is a good opportunity for Oulun Sähkömyynti Oy in the future. As mentioned earlier, governments should upgrade its regulations and incentives so that this 21 st century business model may become more feasible to invest for participatory networks between different countries. This would bring more opportunities for the case company to create superior value for customers. One of the main reasons of this change in energy world is change of value model as described by Jansen et al. (2007). Value model is the combination of value provided to customers and reciprocal value received from customers in return. There is comparison of tradition value chain and emerging value chain as is given in the figure 10 (Valocchi et al., 2010). This might bring enormous benefits for case company in order to discover its synergies in regards of co-creating value.
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OULU BUSINESS SCHOOL Hassan Sherwan
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3 CONTENTS Abstract Contents Figure
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5 Figures Figure 1: The scope of th
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7 1 INTRODUCTION 1.1 Introduction a
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9 Electricity industry used to be c
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11 Monopoly: A market with a single
Page 13 and 14: 13 2 RESEARCH CONTEXT This chapter
Page 15 and 16: 15 produced but, resources to gener
Page 17 and 18: 17 through bioenergy largely in the
Page 19 and 20: 19 framework. There is a need to re
Page 21 and 22: 21 the companies make themselves en
Page 23 and 24: 23 Monopoly Traditional Model Value
Page 25 and 26: 25 once a company at local market a
Page 27 and 28: 27 It is vital to notice that these
Page 29 and 30: 29 In the global arena, companies m
Page 31 and 32: 31 known as Uppsala Model and is wi
Page 33 and 34: 33 vital part so the parties must a
Page 35 and 36: 35 provides to the company, in the
Page 37 and 38: 37 way of achieving this goal is to
Page 39 and 40: 39 Figure 7: The Emerging Concept o
Page 41 and 42: 41 who actually creates values and
Page 43 and 44: 43 value of the organization in its
Page 45 and 46: 45 being an extension to resource b
Page 47 and 48: 47 knowledge management process is
Page 49 and 50: 49 widely agreed on the negative ef
Page 51 and 52: 51 need to be coordinated and consi
Page 53 and 54: 53 responsibilities, and of the int
Page 55 and 56: 55 is equally important to manage i
Page 57 and 58: 57 All these four stages are follow
Page 59 and 60: 59 5 ANALYSIS As there was a brief
Page 61 and 62: 61 company’s individual needs irr
Page 63: 63 In other words, the market is fr
Page 67 and 68: 67 themselves, who may be capable o
Page 69 and 70: 69 to enhance innovation (Pomeda &
Page 71 and 72: 71 Marketing is responsible for dev
Page 73 and 74: 73 Customer satisfaction is conside
Page 75 and 76: 75 clear picture of the role and co
Page 77 and 78: 77 more and more companies operatin
Page 79 and 80: 79 What level of integration betwee
Page 81 and 82: 81 There is a good opportunity to i
Page 83 and 84: 83 internationalization in Finnish
Page 85 and 86: 85 chaos within the company and man
Page 87 and 88: 87 In this thesis work, though the
Page 89 and 90: 89 described by Valocchi et al. (20
Page 91 and 92: 91 Cavusgil, S. T. (1980). On the I
Page 93 and 94: 93 Henry, A. (2008). Understanding
Page 95 and 96: 95 Metaxiotis K, Ergazakis K and Ps
Page 97 and 98: 97 Tykesson, D. and Alserud, M(2011
Page 99 and 100: 99 APPENDICES Interview Questions:
Page 101: 101 Are you familiar with va
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