How does social monitoring strategy empower value co-creation: the moderating effects of urban digital infrastructure

Abstract

Purpose As value co-creation has become central to marketing practices, social media strategies have been extensively studied as a key approach to fostering co-creation. However, existing research has treated this strategy at a broad conceptual level, offering a limited understanding of the involved inherent “benefit-risk” dilemma. Building on service-dominant logic, this study aims to focus on social monitoring strategy – a more nuanced form of social media strategies. The study conceptualizes it as a distinct value proposition that promotes value co-creation, thereby mitigating the “benefit-risk” dilemma. Specifically, the study examines the direct effects of social monitoring strategies on value co-creation, mediating roles of absorptive and joint learning capacities, and moderating effects of urban digital infrastructure on these mediating mechanisms. Design/methodology/approach This study is based on 340 firm-level survey data obtained from a questionnaire survey and public data from statistical yearbooks. Empirical testing was conducted using the AMOS and SPSS research methods. Findings A social monitoring strategy is a value proposition that promotes value co-creation. This process is mediated by absorptive and joint learning capacities, with the mediating effects moderated by urban digital infrastructure. Originality/value This study advances a novel perspective by conceptualizing social monitoring strategy as a distinct value proposition and investigating how it drives value co-creation. More importantly, it addresses the “benefit-risk” paradox highlighted in existing research. By introducing a moderated mediation model, it opens the “black box” between social monitoring strategy and value co-creation, underscoring the critical role of urban digital infrastructure in strengthening this process.