Sara Sahafaqat 14008051002

The article service dominant logic as a foundation for service science clarification 2009 is
written by vergo and Akaka. The article talks about the new ways of thinking in the field of
marketing. They have tried to establish the chain of arguments on the thought of service science.
The fundamental of service science is presented by Paul-p-Manglo. According to him, S-D logic
has been recognized as a potential philosophical foundation for science of service. However, the
assumptions of service dominant logic are based on theory of service system. Service system
consist of co. creation, configuration of people, technology, value proposition connecting internal
and external service systems and shared information. Indeed, the importance of service science
and the study of service system stems from the evolution to a new service economy as well as
growth of service economies. However, service dominant logic claim that all economies are
service economies because all exchanges whether it is goods or services could be exchange via
some types of services (e.g. a suit of cloth is obtained through the service of tailor). This piece of
writing suggested that this model of value creation driven by mutual service provision rather than
one based on making and selling of services, this model offers a conceptual foundations that
potentially provides a more robust foundations for the advancement of a service centered system.
There are some implications of service science: there is service, the act of doing something for
another party, directly or through a good. 2) there is no new service economy, service has always
been the basis of exchange 3) value is always co. created.
The determination and processes of value have been discussed with the time of Aristotle and
central smith (1776). However, there are two broad assumptions of value. Value in exchange
and value in use. Historically, value in use has been recognize as the real meaning of value at
least until Smith refocused on value in exchange by given his national wealth standard as
indicated his work lead to G-D logic and its conceptualization of value as something added to
products by the firm and other suppliers and intermediaries. Thus in G-D logic the customer is
seen as exogenous to these value adding activities, indeed customer is destroying of value. Now,
the attention has been refocused on the idea that value in exchange. S-D logic has provide the
logic of value co-creation which inviting the customers to participation in production or design
process. It suggested that there can be no value without the customer incorporating the firms
offerings into her and his own life. Moreover, the terms co-creation and co-production are not
same. Co-creation has been used to convey the customer and other collaborative role in value
creation (e.g value in use). While, mere customer participation in the development of a firm
offering e.g design, assembly, and self service has been identified as co-production in S-D logic.
However, the role of customer in co-production is optional whereas, his or her role in value
creation is not as well as value is always co-created. Independently customers could not create
value in the same way according to service science point of view firms could not adequate
resources to create value without interaction so they became the networks relationships that
converge on value creation. These networks called service ecosystem loosely-coupled systems of
service systems. This system express that each instance of value creation is unique and can only

be assessed from the perspective of an individual service system. Value in context is another
approach it highlights the importance of time and place dimensions and networks relationships
as key variables in the creation and determination of value.