How Countervailing Power Affects Value Co-Creation among Service Providers: A Comparison of the Travel and Mobility Sectors

Creators: Schulz, Thomas and Ikonomou, Georgios
Title: How Countervailing Power Affects Value Co-Creation among Service Providers: A Comparison of the Travel and Mobility Sectors
Item Type: Conference or Workshop Item
Event Title: Proceedings of the 24th Pacific Asia Conference on Information Systems (PACIS)
Event Location: Dubai, UAE
Event Dates: June, 20-24, 2020
Projects: CROSS
Date: June 2020
Divisions: Informationsmanagement
Abstract: Customers often have complex needs that cannot be met by a single service provider. Service integrators and service providers can use information technology to establish service ecosystems in order to provide customers an all-in-one solution. In this paper, we examine why hotel organizations are more willing to engage in value co-creation with service integrators than public transport organizations. We take the service-dominant logic perspective, augmented by the concept of (countervailing) power. Interviews with representatives from 26 German hotel and public transport organizations reveal a trade-off between greater satisfaction of customer needs and a potential loss of power. In contrast to hotel organizations, the service ecosystems of public transport organizations are characterized by institutional arrangements that restrict their price and place policies, and thus negatively affect their ability to develop and maintain countervailing power. Practitioners can apply our findings to design beneficial institutional arrangements and thus facilitate value co-creation.
Citation:

Schulz, Thomas and Ikonomou, Georgios (2020) How Countervailing Power Affects Value Co-Creation among Service Providers: A Comparison of the Travel and Mobility Sectors. In: Proceedings of the 24th Pacific Asia Conference on Information Systems (PACIS), June, 20-24, 2020, Dubai, UAE.

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