From goods to service(s): Divergences and convergences of logics |
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Authors: | Stephen L Vargo Robert F Lusch |
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Institution: | a Shidler Distinguished Professor of Marketing, University of Hawaii at Manoa, 2404 Maile Way, Honolulu, HI 96822, United States b Lisle & Roslyn Payne Professor of Marketing, University of Arizona, 1130 E. Helen Street, Tucson, Arizona 85721, United States |
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Abstract: | There are two logics or mindsets from which to consider and motivate a transition from goods to service(s). The first, “goods-dominant (G-D) logic”, views services in terms of a type of (e.g., intangible) good and implies that goods production and distribution practices should be modified to deal with the differences between tangible goods and services. The second logic, “service-dominant (S-D) logic”, considers service - a process of using ones resources for the benefit of and in conjunction with another party - as the fundamental purpose of economic exchange and implies the need for a revised, service-driven framework for all of marketing. This transition to a service-centered logic is consistent with and partially derived from a similar transition found in the business-marketing literature — for example, its shift to understanding exchange in terms value rather than products and networks rather than dyads. It also parallels transitions in other sub-disciplines, such as service marketing. These parallels and the implications for marketing theory and practice of a full transition to a service-logic are explored. |
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