An exploration of the strategic collaboration between earthmoving machinery OEMs, licensed dealers and independent local resellers in a dynamic market

Abstract

Customers are constantly seeking cost-effective, affordable, and reliable alternative solutions, while organisations are seeking to produce value-generating solutions that can generate profitable growth. This presents an opportunity to explore prospects for long-term collaborative innovation and strategic partnerships that can have financial benefits for all parties involved. This collaboration significantly influences the organisational decision-making processes and value creation for customers, making it necessary to explore how these relationships impact the overall market dynamics and customer benefits. This research seeks to address these gaps by exploring the impact of outsourcing and strategic partnerships on cost efficiency, profitability, and creating customer value. A qualitative, exploratory research approach was spent, with in-depth semi-structured interviews with senior management and executives that have extensive industry experience and responsibility for strategic decision-making. The perspectives of these managers provided valuable insights into the customer-centric solutions and strategic partnerships, creating a deeper understanding of organisational efficiency and value creation in a dynamic market.