Value Creation in Digital Ecosystem – A Study of Remote Diagnostics

The advancement of digital technologies is driving traditional product oriented businesses to move from selling product to selling solutions. In order to exploit business potentials from technology, it is necessary to understand the technological capacity and how it influences the value creation in the environment where it is deployed. I study remote diagnostics as an example of digital technology within the vehicle industry. I found that this technology provides potential to generate new value. To create this value, traditional product oriented organizations are required to create value in different way than traditional mode of creating value. In this paper, I show that how generative capacity of remote diagnostics technology creates value in digital ecosystem.