Abstract
<p><strong>Purpose</strong> – Advanced servitization is the process that involves the combination of different services that facilitate both the use of a product and customer operations. Although servitization has emerged as a frequent strategy for manufacturers to differentiate themselves from the competition, its implementation can pose major challenges and may not always result in superior firm performance. Consequently, successful advanced servitization may require specific organizational capabilities to unleash performance-enhancing effects. To date, little is known about how to effectively configure advanced servitization to achieve such performance gains. </p><p><strong>Design/methodology/approach</strong> – Adopting a fit theory perspective and using a configurational approach, we examine the interplay between servitization, organizational capabilities, contextual factors, and financial performance. Specifically, we focus on advanced servitization and assess its necessity and sufficiency for achieving