Research on time-value-oriented business model innovation path in life services enterprises and its impact on customer perceived value

In today's fast-paced digital economy, time scarcity is increasingly impacting consumer behavior. Life service enterprises face the challenge of meeting consumers' immediate needs and changing lifestyles. Many are innovating their business models to prioritize the value of time, but a systematic understanding of this innovation path and its effect on customer perceived value remains lacking. This study addresses this gap by constructing a time-value-oriented business model innovation path for life service enterprises and analyzing its relationship with customer perceived value. The increasing sense of time scarcity, particularly in the digital economy, significantly influences consumer choices in the life services sector. Consumers demand immediacy and convenience, posing significant challenges for life service enterprises, which often involve high-touch interactions. Existing research on business model innovation offers various frameworks, focusing on elements such as value proposition, key processes, core resources, and transaction methods. However, a cohesive theoretical framework specifically addressing time-value-oriented business model innovation in life services is absent. This study aims to fill this void, exploring the design, rationale, and impact on customer perceived value of such an innovation path. The study will use case studies of leading Chinese life service enterprises (Hema, JD.com, HaiDiLao, Meituan, SF Express, and Didi Global) to illustrate practical applications of time-value-oriented business model innovation. The study will investigate how these companies have integrated the value of time into their business models and what strategies they have employed. The research questions are: 1. How do life service enterprises innovate their business models considering the value of time? 2. What are the specific paths? 3. Can these paths enhance customer perceived value?

The study reviews existing literature on business model innovation, examining various models proposed by scholars (e.g., three-element, four-element, five-element, six-element, and nine-element models). A consensus emerges that business model innovation leverages changes in value proposition, key processes, core resources, and transaction methods to create corporate value and improve customer perceived value. The literature also explores the factors driving business model innovation, including external factors (national strategic changes, institutional transitions, industry competition, customer demands, market orientation, technological change, and value networks) and internal factors (organizational decision-making, resources and capabilities, managerial cognition, top management team characteristics, corporate social responsibility, organizational characteristics, and organizational learning). However, research focusing on the specific path of time-value-oriented business model innovation and its impact on customer perception remains limited. The literature on customer perceived value highlights its importance in determining the success of business model innovation and its direct impact on enterprise value. Previous studies have shown that business model innovation positively impacts organizational capabilities, operational costs, competitive advantage, and firm performance, ultimately contributing to increased customer perceived value and value exchange. This underscores the importance of aligning business model innovation with customer needs and expectations.

This research employs a mixed-methods approach. It begins with a qualitative analysis of six representative Chinese life service companies (Hema, JD.com, HaiDiLao, Meituan, SF Express, and Didi Global), examining their business model innovations focusing on the value of time. Data collection involved secondary data (internet sources, documents, media reports, and past studies), official corporate information (annual reports, executive speeches, interview records), and user reviews from online platforms. The researchers used NVIVO software for text analysis to identify commonalities in these companies' approaches to time-value-oriented business model innovation. This qualitative phase leads to the development of a time-value-oriented business model innovation path model. Following the qualitative analysis, a quantitative study uses a questionnaire survey to examine the proposed relationships between elements of the business model innovation path and customer perceived value. The questionnaire, designed using a 7-point Likert scale, measures customer perceived value across four dimensions: value proposition, key processes, core resources, and transaction methods. The questionnaire was pre-tested for reliability and validity. Data was collected through field surveys, email, and online platforms. After eliminating invalid responses, 1156 valid questionnaires were analyzed using SPSS software and Excel. Reliability analysis (Cronbach's alpha) confirmed the internal consistency of the scales, while validity analysis (KMO and Bartlett's test) ensured the structural validity of the questionnaire. Independent sample t-tests were used to compare customer perceived value across the six case companies.

The qualitative analysis identified a time-value-oriented business model innovation path consisting of three levels: value proposition (time-value proposition, continuous innovation of time-value concept, and time-value competitive advantage), key processes (efficient operation of time-oriented standardized processes, greater convenience compared to competitors, and balancing the value of time and service quality), core resources (big data and branding advantages, integrating resources with partners, and unique supply chain system), and transaction methods (combining online and offline transactions, continuously updating convenient payment methods, and offering flexible and comprehensive payment options). The quantitative analysis confirmed four hypotheses: H1: Time-value-based proposition innovation enhances customer perceived value. H2: Time-value-based key process innovation enhances customer perceived value. H3: Time-value-based core resources innovation enhances customer perceived value. H4: Time-value-based transaction methods innovation enhances customer perceived value. The average customer ratings for the four dimensions were high (above 5.7 on a 7-point scale), with transaction methods receiving the highest rating (5.819). A comparative analysis of the six case companies revealed variations in customer perceived value. SF Express received the highest overall rating, followed by JD.com. Meituan and Didi Global received lower ratings, potentially due to higher consumer expectations for immediacy and service reliability in their respective industries. The findings suggest that companies should prioritize value proposition innovation and efficient key processes to enhance customer perceived value related to time.

The findings demonstrate that a time-value-oriented business model innovation path effectively enhances customer perceived value in life service enterprises. This supports the growing importance of integrating the 'value of time' into business strategies. The high customer satisfaction levels observed across all four dimensions highlight the success of the selected companies' innovation efforts. However, the variation in performance across different companies and industry types underscores the need for tailored approaches. Companies should recognize the specific needs and expectations of their target customer segments and adapt their innovation strategies accordingly. For instance, the express delivery industry shows a stronger emphasis on speed and reliability, while other sectors might prioritize different aspects of time-value. Future research should explore further the nuanced ways in which the 'value of time' manifests itself across different life service sectors.

This study provides a comprehensive framework for understanding and implementing time-value-oriented business model innovation in the life services sector. The findings highlight the importance of integrating value proposition, key processes, core resources, and transaction methods to enhance customer perceived value. The study's limitations include the sample size and focus on Chinese companies, suggesting future research could expand the scope of the study to include a wider range of enterprises and geographic locations. Future research could also explore the long-term effects of such innovations on customer loyalty and firm performance, and examine the impact of external factors on the effectiveness of time-value-oriented business model innovation.

The study's limitations include the focus on six case studies and a specific geographic context (China), which may limit the generalizability of the findings to other countries and industry contexts. The questionnaire survey, while providing valuable quantitative data, might not capture the full complexity of customer perceptions and experiences. Future research could address these limitations by expanding the sample size, broadening the geographical scope, and incorporating more qualitative methods to enrich the understanding of time-value-oriented business model innovation.