Robert Lusch

University of Arizona | UA · Department of Marketing

Commercializing technological innovations is a strategic goal in entrepreneurial ventures and established firms. One fundamental decision that remains understudied in this context is the form in which the innovation is to be commercialized. We term this decision the firm's product-form strategy (PFS) for the innovation. In Study 1, we employ a theo...

Marketing researchers and marketers have long focused on the importance of resources: organizations having enough raw materials, advertising budget, distribution and supply facilities, data, technology, money, connections, time, or employees. However, these only become valuable to the organization when people identify them as potential resources an...

Business angels are vital sources of funding for new ventures. Yet, acquiring business angel support is difficult. Typically organized in professional networks, business angels collectively evaluate and deliberate about new ventures to determine their worthiness of support. One factor deemed to be critical during this evaluation is market risk. Yet...

Marketing executives operate in increasingly complex marketplaces characterized by global competition, accelerating sustainability concerns, and an increased focus on innovation. This complexity risks a fragmentation of thought more severe than that which Theodore Levitt discussed in his seminal article on marketing myopia. Indeed, we’ve become mar...

Although formulation has received the lion’s share of attention in strategic management research, implementation is widely considered to provide the greatest challenges for top executives. Observers have cited the need for more research on implementation and thought leaders have called for the use of interdisciplinary approaches. Thus, we explor...

During the last decade, service-dominant (S-D) logic (1) has taken a series of significant theoretical turns, (2) has had foundational premises modified and added and (3) has been consolidated into a smaller set of core axioms. S-D logic can continue to advance over the next decade by moving toward further development of a general theory of the mar...

Purpose – The purpose of this paper is to create awareness on the need for lifting up the level of analysis in service research by focusing on systems, networks, and ecosystems to contribute to the research expansion of the traditionally narrow view of service. Design/methodology/approach – This conceptual paper is built upon three blocks. First,...

This article provides a brief introduction and comments on the articles in this special issue on transdisciplinary perspectives of service-dominant logic. Insights are provided that draw on economics, ecosystems theory, philosophy, service science, sociology, strategic management and systems science. Collectively these articles enhance service-domi...

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 li...

In this study, we present stakeholder analyses of firm-related web forums. Prior analyses of firm-related forums have considered all participants in the aggregate, failing to recognize the potential for diversity within the populations. However, distinctive groups of forum participants may represent various interests and stakes in a firm worthy of...

In this article, we lay out the challenges and research opportunities associated with business-to-business (B2B) buying. These challenges and opportunities reflect four aspects of B2B buying that the Institute for the Study of Business Markets (ISBM: www. isbm. org) has identified through a Delphi-like process: (1) the changing landscape of B2B buy...

In this article, we offer a broadened view of service innovation-one grounded in service-dominant logic-that transcends the tangible-intangible and producer-consumer divides that have plagued extant research in this area. Such a broadened conceptualization of service innovation emphasizes (1) innovation as a collaborative process occurring in an ac...

This article presents a partial model of selected elements of retail store conduct and their impact on performance. Drawing on past retail performance and patronage studies, the model incorporates conduct that enhances "environmental fit" (relative store size and target market reach) and conduct that reflects "marketing effectiveness" in the areas...

Marketing needs a new mindset to fulfill its proper role in creating and sustaining strategic advantage. To extend its influence beyond the boundaries of current offerings, the firm, and conventional practice, marketing and markets must be viewed through a service lens. This lens allows marketing to take a lead role in assisting the enterprise to e...

Purpose – The purpose of this paper is to describe the conversion of knowledge into value by examining the confluence of service-dominant logic (S-D logic), supply chain management (SCM), human resource management (HRM), and neuroeconomics. S-D logic suggests that knowledge is the raw material of value creation. SCM provides an organized foundation...

This article discusses how the core concepts of service-dominant logic—service-for-service exchange, value co-creation, value propositions, resource integration, and highly collaborative relationships—point to a generic actor conceptualization in which all actors engaged in exchange (e.g., firms, customers, etc.) are viewed as service providing, va...

Value creation, both its nature and scope, can be better and more accurately understood by inverting six characteristics of goods-dominant logic, or what is also known as old enterprise logic or neoclassical economics, into a service-dominant-informed perspective. These six inversions include (1) entrepreneurship and the view that value creation is...

Emerging from the rapid growth of information technology (IT) in a digital world is the explosion and rapid ascent of IT-related service innovation occurring around the globe. All successful service innovation in a digital world consists of two main abstract domains: signs (because only signs can be digitized) and practices. Signs are perceivable,...

This article explores the role of symbols in value cocreation in order to develop a deeper understanding of how actors communicate, interact, and reconcile perspectives as they integrate and exchange resources to create value for themselves and for others. We draw on a service ecosystems approach to value cocreation and propose a conceptual framewo...

The proposed framework sheds light on the fundamental role that value propositions play in service systems. Building on service-dominant logic from marketing and structuration theory from sociology, the authors theoretically link three service constructs: value propositions as invitations from actors to one another to engage in service, engagement...

In 2004, Robert F. Lusch and Stephen L. Vargo published their groundbreaking article on the evolution of marketing theory and practice toward "service-dominant (S-D) logic", describing the shift from a product-centred view of markets to a service-led model. Now, in this keenly anticipated book, the authors present a thorough primer on the principle...

Purpose – The purpose of this paper is to examine shopper marketing through service-dominant logic and service ecosystem lenses. In doing so, the authors reveal challenges and opportunities for supply chain management. Design/methodology/approach – The work is conceptual, drawing on contemporary service-dominant logic thinking. Findings – Examina...

In closing, we thank the reviewers for this special issue: Chad Autry, Dimitrios Buhalis, Kevin Burgess, Mawuko Dza, Mark Francis, Pennie Frow, Rod Gapp, Debra Grace, Amelia Green, Deborah Griffin, Paul Hyland, Byron Keating, John Mangan, Bill Merrilees, Don Michie, Sandy Ng, Matthew O’Brien, Wes Randall, Daniela Rosenstreich, Claudine Soosay, Kaj...

To strengthen the theoretical foundations of international marketing (IM), the authors propose a framework for conceptualizing the complexity of the context that frames international and global exchange systems. In particular, they apply a service ecosystems approach, which is grounded in service-dominant logic and its foundational premise that ser...

Marketing must be elevated to a higher level of consciousness. A consciousness that grows beyond solving small, immediate problems to addressing long-term, large problems that goes beyond individual customer satisfaction and short-term financial performance to encompass the total value creation system. The discipline, in theory and practice, must m...

Understanding the flow and interrelated nature of institutions and business entities' processes and exchanges helps researchers develop and apply big data analytics techniques more effectively from an ecosystem-based perspective (rather than individual transactions and components).

As the world evolves complex interdependencies, it is more important than ever to pay special attention to service system resiliency and sustainability. The emergence and growth of service science and Service-Dominant (S-D) Logic helps to encourage systems-level thinking and provides at least some initial guidance on developing appropriate ‘mind-se...

This essay reviews the purpose and history of the Service-dominant logic linked, biennial Forum on Markets and Marketing (FMM) and the community of scholars it is catalyzing. Five essays developed by the participants around the organizational themes of FMM 2010 - (1) resource integration; (2) value, values, symbols and outcomes; (3) systems, comple...

The creation of value is the core purpose and central process of economic exchange. Traditional models of value creation focus on the firm's output and price. We present an alternative perspective, one representing the intersection of two growing streams of thought, service science and service-dominant (S-D) logic. We take the view that (1) service...

Purpose – The purpose of this essay is to explore further the concept of value cocreation from a service-ecosystems view, by considering the importance of networks and the configuration of relationships and resources in markets. Methodology/approach – We use a conceptual approach to extend a service-dominant (S-D) logic, ecosystems view of value co...

Competitive advantage never comes easy. However, it is more difficult to achieve when operating with an outdated or inappropriate logic of the market and marketing. We argue that a goods-dominant (GD) logic guided most of marketing and competitive practice during the past two centuries and largely continues today. Unfortunately, much of the educati...

Organizations and people within organizations cling to traditions, industry practices, and managerial frameworks well beyond their usefulness. Perhaps this is just another way of stating the obvious that habits die slowly. One habit or tradition that is experiencing a slow death is the traditional marketing paradigm, referred to as the goods-domina...

Using customer level data, prior marketing research has developed a micro or bottom up approach to link marketing activities with shareholder value. This study develops a macro or top down approach using longitudinal firm level data from publicly available financial statements. Test results show that the earnings component supported by sales has hi...

Firms are increasingly dependent on the knowledge and expertise in external organizations to innovate, problem-solve, and improve supply chain performance. This research examines two capabilities that enable firms to collaborate successfully as a means to combine knowledge and expertise in an episodic collaboration initiative. Building from two the...

Purpose The purpose of this paper is to respond to the criticism O'Shaughnessy and O'Shaughnessy made of service‐dominant logic in EJM , on behalf of both the paper and the worldwide community of scholars that have embraced S‐D logic as historically informed, integrative, transcending and rich in its potential to generate theoretical and practical...

Purpose This paper proposes a rejoinder to the O'Shaughnessy and O'Shaughnessy rejoinder to “Service dominant logic: a necessary step”, the commentary on their previous criticism of service‐dominant logic. Design/methodology/approach This paper is a critical analysis of O'Shaughnessy and O'Shaughnessy's comments. Findings The paper finds that O'S...

Marketing thought and practice is continuing its evolution from a largely goods-dominant logic to a service-dominant (S-D) logic. The authors argue that an S-D grounded logic is especially useful in a highly networked world. In a network world and organization, it is critical for enterprises to realize and operate as if marketing is no longer simpl...

A variety of theoretical frameworks including social exchange theory, relational exchange theory, and contracting theory are used to investigate how to protect relational assets in a marketing channel when an upstream horizontal business combination between key suppliers arises. In this study, we ascertain downstream channel members’ perceptions of...

The delineation of B2B from ‘mainstream’ marketing reflects the limitations of the traditional, goods-dominant (G-D) model of exchange and a conceptualization of value creation based on the ‘producer’ versus ‘consumer’ divide. Service-dominant (S-D) logic broadens the perspective of exchange and value creation and implies that all social and econom...

In a broad sense, social media refers to a conversational, distributed mode of content generation, dissemination, and communication among communities. Different from broadcast-based traditional and industrial media, social media has torn down the boundaries between authorship and readership, while the information consumption and dissemination proce...

Shifting the dominant thinking of supply chain management toward the concepts of service, value cocreation, value propositions, operant resources, networks, service ecosystems and learning opens up many research opportunities and strategies for improved organizational performance. The emerging thought world of service-dominant logic is presented as...

A major change is taking place in most national economies, and even the world economy. It has been variously described under rubrics of globalization, global flattening, and global outsourcing, and has resulted in debate over how firms and nations gain and retain competitive advantage. Innovation has become perhaps the most often used term to captu...

Organizations and people within organizations cling to traditions, industry practices, and managerial frameworks well beyond their usefulness. Perhaps this is just another way of stating the obvious that habits die slowly. One habit or tradition that is experiencing a slow death is the traditional marketing paradigm, referred to as the goods-domina...

This article anchors a special issue on a service-dominant logic perspective on relationship, stemming from a special session at the 9th International Conference on Relationship Marketing in Berlin in 2009. It also proposes and elaborates a service-dominant-logic-based, transcending conceptualization of relationship that was the basis for that spec...

Market segmentation is inherently a multicriterion problem even though it has often been modeled as a single-criterion problem in the traditional marketing literature and in practice. This paper discusses the multicriterion nature of market segmentation and develops a new mathematical model that addresses this issue. A new method for market segment...

Purpose The purpose of this paper is to reflect on actions and obstacles in the conceptual transition from mainstream service management (1970‐2000s) to a new approach synthesized in service‐dominant (S‐D) logic (2000s). Design/methodology/approach The paper takes the form of a review of approaches to service in the literature, education, and prac...

Service Science is an interdisciplinary effort to understand how service systems interact and co-create value. Service-dominant (S-D) logic is an alternative perspective to the traditional, goods-dominant (G-D) logic paradigm, which has been recognized as a potential theoretical foundation on which a science of service can be developed. While ther...

Introduction Expanding the Scope of Value Creation Shifting the Logic of Exchange: Toward a Service-Dominant Logic Rethinking the Roles of the Firm Conclusion References and Further Reading

The emergence and evolution of service-dominant (S-D) logic (Vargo and Lusch 2004a) has drawn increasing attention toward the integration of resources, especially intangible and dynamic resources and interdependent processes that drive the creation of value. The core of this developing mindset fundamentally shifts the focus of marketing and, more g...

With the rise of a network economy, customers are part of an extended enterprise and co-producers of the firm’s marketing. Enterprises need to learn not to fear it but embrace it as a healthy part of a highly networked market economy. Inbound marketing is made more effective, efficient and whole when your customers are viewed as a partner to be “ma...

This essay and the following commentaries address the use of theory in operations management. While much is said about theory in the typical journal article, theory, as science defines it, is not at the center of much of our research. The discipline had fallen into some bad habits. This essay and its commentaries appeal for more attention to what t...

This research examined how operational outcomes, relational outcomes and business performance are affected by a collaboration project between buyers and suppliers in a supply chain. It is hypothesized that interdependence of knowledge and process, supply chain partner insight, and the level of collaboration between the firms affect the outcomes of...

Both supply chain management (SCM) and marketing in general have been moving from models and purposes narrowly focused on goods to more general models and purposes associated with partnerships, value networks, service provision, and value creation. Some of this movement has been captured in what has become known as service–dominant (S–D) logic. Thi...

This study examines the influence of bilateral communication, voice, explanation, consistency, credibility, and interactional norms (all elements of procedural justice) on long-term orientation. The hypotheses are empirically tested through an examination of partnerships that wholesalers have with their major supplier. Voice, consistency, credibili...

The theoretical basis of the current thinking on supplier-retailer communication is refined and an alternative model is offered and empirically tested. It is argued and empirically demonstrated that identification is an important mediator in bringing about relational outcomes in a supplier-retailer relationship. Specifically, collaborative communic...

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 serv...

“Service-dominant logic” appears to have found resonance in the marketing community since its introduction as the evolving, “new dominant logic” in the Journal of Marketing (Vargo and Lusch 2004a, Journal of Marketing, 68, 1–17 (January)). But, on occasion, so has the question of whether the concept “service” captures the essence of the new logic....

Since the introductory article for what has become known as the “service-dominant (S-D) logic of marketing,” “Evolving to a New Dominant Logic for Marketing,” was published in the Journal of Marketing (Vargo, S. L., & Lusch, R. F. (2004a)), there has been considerable discussion and elaboration of its specifics. This article highlights and clarifie...

Advancing service science requires a service-centered conceptual foundation. Toward this goal, we suggest that an emerging logic of value creation and exchange called service-dominant logic is a more robust framework for service science than the traditional goods-dominant logic. The primary tenets of service-dominant logic are: (1) the conceptualiz...

We argue that the universal role of service in the economy and firm can provide a frame of reference to help guide a management philosophy that is more effective and better contributes to competing in the future than a frame of reference based on tangible goods. We call this revised philosophy service-dominant logic (S-D logic) and suggest eight ke...

There are two distinct logics that could be used in the development of a service(s) science. One, goods-dominant logic, is based on the idea that services are special forms of intangible goods and therefore points toward a model concerned with the production of intangible units of output. The other is based on a concept of service as a process of t...

Service-dominant logic (S-D logic) is contrasted with goods-dominant (G-D) logic to provide a framework for thinking more clearly about the concept of service and its role in exchange and competition. Then, relying upon the nine foundational premises of S-D logic [Vargo, Stephen L. and Robert F. Lusch (2004). “Evolving to a New Dominant Logic for M...

Marketing thought and practice has evolved over the past 100 years from a philosophy of taking things to market to a philosophy of market(ing) to customers and, increasingly today, to a philosophy of market(ing) with customers. The author discusses the evolution of these philosophies and their influence on how the American Marketing Association has...

Turbulence, uncertainty, dynamic processes, and networks increasingly characterize competitive markets and business strategies. Consequently, there's a need to model such markets and strategies as dynamic, evolutionary processes that is, as complex adaptive systems. Agent-based modeling, a rich platform for studying complex evolving systems, is use...

Agent-based modeling is the development of computer simulations in which markets, societies, or other macro structures evolve from the ground up through the actions, interactions, and breeding of digital organisms that mimic real-life economic agents. ABM arrives at an especially appropriate time in the development of economic, marketing, and manag...

This article is a tribute to the late Richard Normann, whose call for a “service logic” (Normann, Reframing Business: When the Map Changes the Landscape, Wiley, Chichester, p. 99, 2001) both parallels and enriches service-dominant (S-D) logic (Vargo and Lusch, J. Mark, 68:1–17, 2004a). Like Vargo and Lusch, Normann shifted the focus of the offering...

Firms gain competitive advantage by employing marketing professionals that have developed firm-specific capital. This study argues that marketers' perceptions of the governance structure employed by the firm to protect marketer capital influence marketers' job outcomes of organizational commitment, organizational trust, job satisfaction, and intent...

Macromarketing research should be grounded in a small view of things. It should focus on the microactions of microactors that create macrostructures. At the same time, macromarketing thought should embrace a long view of things since only a long view of system behavior can separate successful from unsuccessful public policy.

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, con- tentious issues among collaborating scholars, as they attempt to understand the full nature and scope of S-D...

Market segmentation is an important issue in today's intensely ompetitive environment. While many methods have been proposed for market segmentation, they can be classified into two categories: descriptive and predictive. Descriptive methods are optimized for segment identifiability while predictive methods are optimized for segment responsiveness....

This study explores the impact of two forms of contracting (explicit and normative) and two kinds of fairness perceptions (distributive and procedural) on satisfaction and conflict within 433 wholesaler–supplier relationships. As predicted, normative contracting is associated with higher levels of channel member satisfaction and lower levels of con...

Social exchange theory is used to model the outcomes of procedural and distributive justice in supply chain relationships. In this study, we examine how the enacted procedural and distributive justice policies of a firm influence its partner's attitudes and behaviors within a sample of 290 supply chain relationships. Findings indicate that the perc...

An analysis of the newsletter, Cost and Profit Outlook that was published by Alderson & Sessions, Incorporated during the 1950s provides insights into how Wroe Alderson and Robert Sessions viewed the 1950s manager. Also it offers a perspective for how contemporary marketing academicians might view or interact with the 1980s manager.

This article formally defines the construct of esprit de corps and develops propositions which explain how it emerges in individuals and impacts on individual and group level behavior. Building from social exchange theory and Jones and James (1979) framework, we propose the premise that an individual can simultaneously develop three different types...

Can the public make a distinction between the “ethics of social ideas” versus the “ethics of marketing social ideas”? This question was empirically assessed via a survey research design. The evidence strongly suggests that individuals cannot totally separate the social idea from the marketing technique used to promote the idea. Also it was found th...