Service Dominant Logic in Marketing: Study of the Concepts and Premises Applied to Private Higher Education From the Teachers Perspective

Abstract

The present paper aims to develop a better theoretical understanding concerning Service Dominant Logic, proposed originally in 'Evolving to a New Dominant Logic for Marketing', by Vargo and Lusch (2004a). In this context, the product is a mechanism used in the provision of service. In other words, when used, the value of the product resides in the benefits of utility. Aspects of traditional tangibility (as the capacity to touch with hands) become secondary; the focus is the value provision. Among the central premises, the consumer's action is core to the co-creation of value. The market, arena of co-creation, generates interactive experience and benefits. In spite of the recognized worth of the original definition of service logic, since 2004, improvements have been developed concerning this orientation of „new‟ logic. In this period, the proposers of the theory revised the eight Fundamental Premises (FPs) of „Service Dominant Logic‟ (SDL) (Vargo & Lusch, 2004a). A ninth FP was added two years later (Vargo & Lusch, 2006a), and the tenth two years after that (Vargo & Lusch, 2008). Vargo and Lusch (2008) express their contributions throughout this period (provided though events and academic publications), which were used as a base for theoretical fittings and in the search of better conceptual terminology. The general understanding is that SDL is a potential way to revise the practices of Marketing, but caution is needed before accepting new concepts. The Private Higher Education was chosen as an example of the viability of SDL, deeper than just simple issues in this area.