Empirical Study On The Environment Turbulence,Customer Participation And New Service Development Performance

New services development (NSD) has emerged as an important study field in the theoretical domain of services management. Compared to the richness about the study in foreign academic circles, the study in new service development in China is still at the beginning stage up to now.With the emergence of economic globalization, heightened market completion and greater technological advance, service firms in our country are faced with the unprecedented completion and challenge. So, new service development is the most important means for service firms to adapt to changes in the environment. With the increased diversity and individuation of customer demands, the traditional mode of enterprise innovation can't quickly and accurately grasp customer needs, and help companies launch new products or service to meet customer needs. Therefore, service firms have to select customers to participate in the development of new service. Moreover, customer participation has important theoretical and practical significance for enhancing NSD performance. While financial performance and market performance have long been used to evaluate the NSD performance, the process performance, such as innovation speed and quality, has been overlooked in the service management and innovations literature. So, NSD performance is measured from outcome and process performance.According to the investigation to service firms, we studied the relationship among environment turbulence, customer participation and new service development performance. The results show that environment turbulence has a positive effect on the customer participation, customer participation has a positive effect on the new service process performance, but has no direct effect on the new service outcome performance. However, customer participation can influence the new service outcome performance through the new service outcome performance. In order to enhance the new service outcome performance, service firms should control the process performance such as innovation speed and quality better.