Extending the Conversation about Service Co-Creation: Integration of Principles of Al-Bay’
Keywords:Service co-creation, Al-bay', Service management, Service marketing, Information transparency
Literature on service management and marketing suggests that service co-creation, or the process of active involvement between providers and consumers of a service, contributes to an enhanced service experience and offers competitive advantage to organizations. Such ideal conditions, however, are not often present in certain situations, particularly due to information asymmetry issues prevalent in many types of services, given the knowledge-intensive nature of these interactions. This problem is exacerbated in less-developed economic systems and among less savvy consumers. This article extends the discussion of service co-creation by proposing integration of the al-bay’ (business exchange) principles based on the Islamic concept of transactions. This conceptual article is designed as a theory synthesis paper developed by synthesizing the main principles of al-bay’ and the service co-creation. Observing the fundamentals of al-bay’ overcomes information asymmetry related issues in service dealings, ensures that justice is achieved and fosters trust-based relationships among contracting parties. This conceptual article extends the discussion of service co-creation that typically highlights the provider-customer interaction. The integrated framework serves as a normative model that could guide service providers and businesses to go beyond generating positive participant experiences by protecting the stakeholders in their particular environments.
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