Toward service innovation: An investigation of the business potential of mobile video services in China

The purpose of this paper is to analyze the business potential of mobile video services in China via the case study of M‐Vzone.com. It answers two research questions: what are the important factors that affect the adoption of mobile video services for individuals and enterprises? How much the value was added along the mobile video service chain and how were the benefits are realized?

Grounded in traditional technology adoption and information diffusion theories, the paper uses an exploratory research approach, including interviews and further analysis from published sources.

The authors' analysis suggests that three key factors contributed to the success of m‐commerce in the Chinese context: stronger customer relationship management; enhanced video/operation performance; and easier access to resources. From post‐investigation of the results, the authors also found that small‐ to mid‐sized Chinese owners showed a shift from an imitative to an incremental innovative mode of business thinking and practice.

This is the first study that examines mobile video commerce from a business and innovation perspective in China, to the best of the authors' knowledge. The paper investigates opinions from stakeholders directly involved in a mobile video web site and conducts a detailed analysis on the related value chain network. The findings will be of interest to decision makers in the mobile industry, especially those from small‐ to medium‐sized companies searching for an effective way toward service innovation. The paper can serve as a good foundation for future research into mobile service adoption and service innovation topics.