Document Type



This study uses the pharmacy industry to demonstrate the applicability of a service value networks (SVNs) structural equation modeling (SEM) approach as new method to investigate services industries. The author’s theoretically developed front-end business SVNs approach to customer engagement is modelled using observed business, customer and environmentally related variables. The business and the customer engage via multiple significant interaction pathways, which combine to deliver the net business-customer encounter outcome. This SVN SEM approach sheds new light on the complexities in delivering a businesscustomer exchange, and offers the manager an alignment tool that targets customer satisfaction, customer servicing and customer perceived value. This SVN SEM approach offers a more complex and engaging approach to that of customer relationship management (CRM).