The Future of Competition

Chapter Two

BUILDING BLOCKS OF CO-CREATION

IN THE PREVIOUS CHAPTER, we identified the dynamics of the active role of consumers and the changing relationship between the consumer and the firm. At the heart of this change is the emerging pattern of interactions between them. These interactions are the locus for the co-creation of value.

Consumer-Company Interaction in Co-Creating Value: The Sumerset Example

To illustrate the nature of deep interactions between a consumer and a firm in co-creating value, let’s consider custom home building. Consumers expect to join in every step of the design and building process—indeed, they demand it. They want a home uniquely tailored to their needs and wishes, and they expect the builder to adapt, change, redesign, ...