An Overview Of Service Dominant Logic Marketing Essay
It is thought that the service-dominant logic view of marketing provides a valuable contribution to the dialogue about necessary and evolving change to marketing. This assignment will be evaluating the impacts on the marketing activities undertaken by firms in both strategic and relationship marketing concepts.
From 18th to 19th century, there were major changes in agriculture, mining, transporting and manufacturing. Industrial revolution was the main reason for these changes which had emerged in the Western countries and then eventually influenced the world. It was led by the creation of division of labour which caused exchange, productivity and efficiency.
Industrial revolution was the beginning of a shift from agriculture to manufacturing. Therefore, massive material production took its place. As the production was based on standardised goods, the marketing focus became entirely on the output. Thus, the materialistic idea became dominant which is called ‘Good-Dominant Logic' (G-D).
Nevertheless, there was another milestone which has been substantially experienced by high-income countries is moving from manufacturing to service sector. It is believed that this change also has resulted in major changes in marketing approaches. As the outcome in services is not tangible, the old approach cannot fully apply in services (Shostack, 1977). Moreover, there has been a change in the aspects of goods itself. The decider and creator roles of firm have been shifted to customer focus. The limited understanding of Goods-Dominant logic was dismissed which divide marketing into two main areas, namely goods marketing and services marketing. Furthermore, there is no longer a need to separate services from goods or vice versa. The new evolving dominant logic for marketing which is called ‘Service Dominant Logic' implies to the