Archives: Literature

Abstract: Service-dominant logic continues its evolution, facilitated by an active community of scholars throughout the world. Along its evolutionary path, there has been increased recognition of the need for a crisper and more precise delineation of the foundational premises and specification of the axioms of S-D logic. It also has become apparent that a limitation of the current foundational premises/axioms is the absence of a clearly articulated specification of the mechanisms of (often massive-scale) coordination and cooperation involved in the cocreation of value through markets and, more broadly, in society. This is especially important because markets are even more about cooperation than about the competition that is more frequently discussed. To alleviate this limitation and facilitate a better understanding of cooperation (and coordination), an eleventh foundational premise (fifth axiom) is introduced, focusing on the role of institutions and institutional arrangements in systems of value cocreation: service ecosystems. Literature on institutions across multiple social disciplines, including marketing, is briefly reviewed and offered as further support for this fifth axiom.

Reading time <1 min
Abstract: As one of its own foundational premises implies, the value of service-dominant (S-D) logic is necessarily in its open, collaborative effort. Thus, the authors invite and welcome both elaborative and critical viewpoints. Five recurring, contentious issues among collaborating scholars, as they attempt to understand the full nature and scope of S-D logic, are identified. These issues are clarified and refined, as is appropriate to this co-creation of a service-centric philosophy by the worldwide marketing community. Key Wordsmarketing theory relationship marketing • resource integration resource theory service-dominant logicS-D logic • service marketing

Reading time <1 min
Abstract: Marketing inherited a model of exchange from economics, which had a dominant logic based on the exchange of “goods,” which usually are manufactured output. The dominant logic focused on tangible resources, embedded value, and transactions. Over the past several decades, new perspectives have emerged that have a revised logic focused on intangible resources, the cocreation of value, and relationships. The authors believe that the new perspectives are converging to form a new dominant logic for marketing, one in which service provision rather than goods is fundamental to economic exchange. The authors explore this evolving logic and the corresponding shift in perspective for marketing scholars, marketing practitioners, and marketing educators.

The first paper that provides a discussion of service-dominant logic and how it has evolved from various discussions within marketing. It defines services as: “the application of specialized competences (knowledge and skills) through deeds, processes, and performances for the benefit of another entity or the entity itself.” And contrasts the traditional view of marketing: “In […]
Reading time <2 mins
Abstract: There is a recognised trend of manufacturing companies offering not only products, but also services and even complete solutions to business problems. Research has highlighted economic, market demand and competitiveness factors as responsible for the reshaping of business strategies that this has involved. This study analyses the extent to which another factor, technology, has been a significant factor in the switch from product oriented to service-oriented strategies. A case study of the aero engine manufacturer Rolls-Royce is used to analyse the impact of technology, which is found to have led manufacturers to reshape their business strategies. The study finds that developments in one technology in particular, namely digital electronics, have been a powerful enabling factor facilitating the implementation of service strategies. This provided original equipment manufacturers like Rolls-Royce with a competitive advantage relative to conventional service providers, by enabling them to acquire new knowledge management capabilities.

An interesting overview of rolls-Royce’s Power by the hour; and how technology allowed RR to reshape it’s business strategy.
Reading time <1 min
Abstract: More and more corporations throughout the world are adding value to their core corporate offerings through services. The trend is pervading almost all industries, is customer demand-driven, and perceived by corporations as sharpening their competitive edges. Modern corporations are increasingly offering fuller market packages or “bundles” of customer-focussed combinations of goods, services, support, self-service, and knowledge. But services are beginning to dominate. This movement is termed the “servitization of business” by authors Sandra Vandermerwe and Juan Rada, and is clearly a powerful new feature of total market strategy being adopted by the best companies. It is leading to new relationships between them and their customers. Giving many real-life examples, the authors assess the main motives driving corporations to servitization, and point out that its cumulative effects are changing the competitive dynamics in which managers will have to operate. The special challenge for top managers is how to blend services into the overall strategies of the company.

Defines the term "servitization" and gives a (non-exhaustive) view of why servitization happens.
Reading time <1 min
Abstract: Purpose – The purpose of this paper is to present and discuss a conceptual model of purchase intentions, trust, and e-servicescape that presents online physical environments as comprising three dimensions. It aims to develop and extend existing research into physical service environments through proposing, operationalizing, and testing a model of online servicescape. Design/methodology/approach – The study utilizes a survey approach to gather data regarding consumers' perceptions of online servicescape. Surveys were administered to 257 respondents regarding a broad range of web sites. Findings – A measure of e-servicescape is evaluated that comprises three dimensions and 52 items while relationships between the dimensions of e-servicescape, trust, and purchase intentions are described. Research limitations/implications – The first contribution of this study stems from the successful operationalization of a comprehensive multi-item (in total 52 items), multi-scale (nine scales), multi-dimensional (three) measure of e-servicescape. Second, a contribution is made through the finding that trust constitutes a key variable during online exchange. Third, we contribute insights into the antecedents of consumers' purchase intentions. Finally, the study reveals that consumers' interpretations of online environments exert a powerful influence over trust and purchase intentions. Originality/value – The findings of this study also have numerous implications for both services managers and internet developers. The findings supply valuable insights into which factors practitioners should focus their attention to better tailor their approaches. This study strongly endorses the view that the loyalty intentions of online customers are linked to the extent to which they trust the service provider.

looks at e-servicescapes
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Abstract: A typology of service organizations is presented and a conceptual framework is advanced for the impact of physical surroundings on the behaviors of both customers and employees. The ability of the physical surroundings to facilitate achievement of orhanizational as well as marketing is explored. Literature from diverse disciplines theoretical grounding for the framework , which serves as a base for focussed propositions. By examining the multiple strategic roles that physical surroundings can exert in service organizations, the author highlights key managerial and research implications.

Defines the servicescape
Reading time <1 min