HEC Research Papers Series,
HEC Paris

Abstract: The working paper discusses the profitability of service offers in industrial firms. It first lists the main arguments supporting the theoretical debate, and then describes the results of a field study implemented in six industrial SME’s, which highlights the heterogeneity of their practices regarding the pricing and costing of service offers. The paper concludes by presenting the main conditions required to ensure the profitability of services in industrial firms.

Keywords: profitability; services; pricing

JEL-codes: L00; L80

50 pages, March 1, 2005

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