Versioning products and services by downsizing digital components: Risks due to consumers' feelings of unfairness

• Published in: Technology in society 2020-08, Vol.62, p.101313, Article 101313
• Main Authors: De Sordi, José Osvaldo, Meireles, Manuel, Bitencourt Jorge, Carlos Francisco, Rigato, Carlos, Oliveira, Osvaldo Luiz de
• Format: Article
• Language: English
• Subjects: Behavior; Consumers; Cultural change; Customers; Degradation; Downsizing; Emotions; Fairness; Industry 4.0; Organizational aspects; Organizational behavior; Organizational culture; Perception; Version control; Versioning
• ISSN: 0160-791X; 1879-3274
• DOI: 10.1016/j.techsoc.2020.101313

The inclusion of digital components in products and services, a characteristic of Industry 4.0, increases the possibility of adopting a versioning strategy by downsizing through the reduction or degradation of these components. In this study, we explore the perception of fairness of consumers who are already customers of a company regarding four different downsizing strategies in order to discuss means of identifying and avoiding those that are sources of feelings of unfairness. To address consumers' perception levels of fairness we worked with a scenario-based experiment approach, involving the analysis of different strategies of versioning through downsizing. The results indicate that the two downsizing strategies associated with degradation are sources of potential feelings of unfairness among consumers, implying a risk of the organization losing customers and revenue. From this observation, the difficulties of identifying and managing downsizing through degradation only from a technological perspective are discussed. Therefore, the study provides evidence of the importance of working on organizational behavior and culture to raise awareness in the areas involved in the development of products and services concerning the risks of downsizing through degradation. •Two downsizing strategies associated with degradation are sources of potential feelings of unfairness among consumers.•An important aspect of managing versions of products and services is to identify downsizing through degradation.•It should be observed that there are many possible points for degradation.•Greater consumer perception of unfairness regarding degradation of the content platform.•We cannot view the degradation of the process platform as immune to criticism from consumers.