Scandinavian Working Papers in Economics

Working Papers,
Hanken School of Economics

No 544: Towards Service Logic: The Unique Contribution of Value Co-Creation

Christian Grönroos ()
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Christian Grönroos: Hanken School of Economics, Postal: Arkadiankatu 22, P.O.B. 479; FIN 00101 Helsinki, Finland

Abstract: The underpinning logic of value co-creation in service logic is analysed. It is observed that three of the ten foundational premises of the so-called service-dominant logic are problematic and do not support an understanding of value-co-creation and creation that is meaningful for theoretical development and decision making in business and marketing practice. Without a thorough understanding of the interaction concept, the locus and nature of value co-creation cannot be identified. Based on the analysis in the present article it is observed that a unique contribution of a service perspective on business (service logic) is not that customers always are co-creators of value, but that under certain circumstances the service provider gets opportunities to co-create value together with its customers. Finally, the three problematic premises are reformulated accordingly.

Keywords: value co-creation; value creation; value facilitation; service logic; service dominant logic

28 pages, December 1, 2009

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