Using service logic to redefine exchange in terms of customer and supplier participation

The paper uses service logic to develop a process model of customer and supplier participation in exchange with three phases (production, negotiation and usage), explores why suppliers allow customer participation in value proposition creation, and the motivations compelling customers to participate. Understanding how supplier and customer participation impact on value proposition creation and on value-in-use, provides an impetus for improved targeting practices, enhanced supplier ability to compete, and more focused research.