Service-dominant logic: Difference between revisions

The first axiom (FP1) {{'}}''Service is the fundamental basis of exchange''{{'}} is based on the previously introduced definition of service as the application of operant resources (primarily knowledge and skill) for the benefit of another actor. S-D logic argues that it is always fundamentally service, rather than goods, per se, that actors exchange as they strive to become better off. It is important to emphasize that thisThis 'service' (singular), a process, should not be confused with 'services', (usually plural), usually intended to denote a unit of (intangible) output, which is associated with goods dominant (G-D) logic. The first axiom is at the heart of S-D logic, and thus foundational to the other FPs. For example, it implies that (1) goods are distribution mechanisms for service provision (FP3) and (2) all economies are service economies (FP5). It also follows that money, when it is involved in exchanges, represents rights to future service. In other words, money can be viewed as a placeholder for future service and can be understood as a form of indirect service exchange that often masks the fundamental basis of exchange (FP2).