Management Review ›› 2026, Vol. 38 ›› Issue (1): 208-220.

• Operations and Supply Chain Management • Previous Articles    

Research on the Pricing and Market Entry Timing of Service-oriented Manufacturing Products Considering Consumer Heterogeneous Preferences

Zhao Hongli1,2, Zhao Haifeng1,2, Liu Hongda1,2, Zhang Ying1,2, Li Chenyang1,2   

  1. 1. School of Management and Economics, Tongji University, Shanghai 200092;
    2. Service-oriented Manufacturing Innovation and Research Center, Shanghai 200092
  • Received:2024-05-10 Published:2026-02-10

Abstract: Considering the nature of service-oriented manufactured(SOM) products as both tangible products and intangible services and the fact that SOM products' market value depends on consumers' perceptual effects, this paper, based on the division of heterogeneous consumer preferences, constructs a pricing decision model for the competitive scenarios between service-oriented manufacturers and traditional manufacturers. The study investigates pricing and market entry timing issues under six decision scenarios formed by the combination of pricing strategies(unified pricing(UP) and behavior-based pricing(BBP)) and decision sequences(leading, simultaneous, and following). The results show that:(1) Under certain conditions, service-oriented manufacturers adopting BBP strategies are superior to those using UP strategies. In BBP, service-oriented manufacturers tend to implement price premiums for service-sensitive consumers in comparison to pricing for price-sensitive consumers.(2) In the context of BBP, the pricing of SOM products is negatively correlated with the ratio of price to service preference for service-sensitive consumers, while it exhibits a U-shaped relationship with the ratio for price-sensitive consumers.(3) Regardless of implementing UP or BBP strategies, the timing of market entry for SOM products will impact their profits, market share, and the level of investment in service-related elements. Notably, the optimal timing for SOM products to enter market is after traditional manufactured products are already introduced.

Key words: service-oriented manufacturing, heterogeneous preferences, pricing, decision timing