Services Differentiation
When the physical product cannot easily be differentiated, the key to competitive success may lie in adding valued services and improving their quality. Rolls-Royce PLC has ensured its aircraft engines are in high demand by continuously monitoring the health of its 3000 engines for 45 airlines through live satellite feeds. Under its TotalCare program, airlines pay Rolls a fee for every hour an engine in flight, and Rolls assumes the risks and costs of downtime and repairs in return.
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Famous quotes containing the word services:
“Men will say that in supporting their wives, in furnishing them with houses and food and clothes, they are giving the women as much money as they could ever hope to earn by any other profession. I grant it; but between the independent wage-earner and the one who is given his keep for his services is the difference between the free-born and the chattel.”
—Elizabeth M. Gilmer (1861–1951)