Innovating into trouble: When innovation leads to customer complaints

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dc.contributor.authorRoper, Stephen
dc.contributor.authorBourke, Jane
dc.contributor.funderIrish Research Councilen
dc.date.accessioned2023-01-03T10:30:47Z
dc.date.available2023-01-03T10:30:47Z
dc.date.issued2022-07-07
dc.date.updated2022-12-21T12:08:16Z
dc.description.abstractThis paper examines the unintended consequences of innovation. We show that innovative activity can have adverse outcomes in the form of increased customer complaints with the potential for reputational and financial damage. Complaints may arise directly from adverse reactions to innovative services or indirectly from service failures where firms over-prioritise innovation. Our empirical analysis focuses on legal services in England and Wales. Survey data on innovation by legal service providers is matched with complaints data from the Legal Ombudsman for England and Wales. This allows us to identify the links between innovation activity and subsequent customer complaints. Our analysis reveals that higher levels of innovation activity increase the probability and number of consumer complaints. We identify how firms can reduce the potential for consumer complaints by adopting collaborative innovation strategies. In addition, firms with international competitors are less likely to face complaints. Our results have strategic, regulatory and policy implications.en
dc.description.sponsorshipIrish Research Council (New Foundations)en
dc.description.statusPeer revieweden
dc.description.versionPublished Versionen
dc.format.mimetypeapplication/pdfen
dc.identifier.articleid104593en
dc.identifier.citationRoper, S. and Bourke, J. (2022) 'Innovating into trouble: When innovation leads to customer complaints', Research Policy, 51(10), 104593 (17pp). doi: 10.1016/j.respol.2022.104593en
dc.identifier.doi10.1016/j.respol.2022.104593en
dc.identifier.eissn1873-7625
dc.identifier.endpage17en
dc.identifier.issn0048-7333
dc.identifier.issued10en
dc.identifier.journaltitleResearch Policyen
dc.identifier.startpage1en
dc.identifier.urihttps://hdl.handle.net/10468/14002
dc.identifier.volume51en
dc.language.isoenen
dc.publisherElsevier B.V.en
dc.rights© 2022, The Authors. Published by Elsevier B.V. This is an open access article under the CC BY license (http://creativecommons.org/licenses/by/4.0/).en
dc.rights.urihttps://creativecommons.org/licenses/by/4.0/en
dc.subjectCustomer complaintsen
dc.subjectInnovationen
dc.subjectLegal servicesen
dc.titleInnovating into trouble: When innovation leads to customer complaintsen
dc.typeArticle (peer-reviewed)en
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