Komatsu: The Rise of a Service-Dominant Logic

It was early 2015 and executives of Komatsu Europe International N.V., whose main business is the sale of mining and construction equipment through multiple distributors across Europe, were exchanging views on the business model that would drive their future. They had seen many changes inside and outside the industry in recent years, and Komatsu was facing a growing need to adapt its current way of doing business. The team had been debating each of the alternatives before them and contemplating the advantages and disadvantages they presented. They realized that the traditional model of selling machines and making sure they would run was no longer enough to satisfy evolving customer needs.