TAILIEUCHUNG - HISTORICAL PERSPECTIVES ON SERVICE-DOMINANT LOGIC

This economic development has resulted in a significant increase in the living standards of the Chinese people, and has also led to further needs for economic construction. These changes in turn have created an expanding consumer market in China, and have generated a growing need for imported goods. New Zealand does, of course, export goods to China, and over the past twenty years New Zealand's exports to China have grown , from NZ$ 1 million in 1972, to over $275 million in 1991. However, exports to China in 1991 still represented only about of New Zealand's total exports, and. | 2 HISTORICAL PERSPECTIVES ON SERVICE-DOMINANT LOGIC Stephen L. Vargo Robert F. Lusch and Fred w. Morgan ị INTRODUCTION Histories have no beginnings. Every history has its own history usually a series of divergences and Ị convergences that are in turn driven by other events. This pattern aptly describes the history of the ị treatment of exchange phenomena in academic and applied thought. It can however be characterized by a major bifurcation that resulted in the development of a paradigm of economic exchange built upon the idea of tangible goods being embedded with value and exchanged for other goods that are also so embedded thus increasing each trading party s wealth by improving its assortment of goods. In the development of this paradigm some types of exchange phenomena usually categorized as ị services were mostly ignored and later partially dealt with as special cases of goods by forcing then conceptualization to comply with the then-established logic. This perverted view of services as im- material goods has caused problems for economic scholars for more than 150 years and marketing I scholars for much of that time. We contend that dealing with this distorted view of services has re- I quired or at least resulted in more bifurcations in thought. These rifts reveal themselves in apparently ị divergent orientations models and theories of exchange and the creation of subdisciplines that led to i more and more fragmentation in marketing thought. Particularly for marketing we argue that these ị distractions have inhibited the full understanding of the fundamental subject matter exchange. Recently these seemingly divergent views appear to be converging on a more inclusive and integrative logic of exchange one that is centered on the same phenomena that had been previ- ously orphaned if not ignored. We Vargo and Lusch 2004a label this emergent logic and poten- I rial paradigm service-dominant S-D logic in contrast to goods-dominant G-D logic. The ị purpose of this .

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