ABSTRACT
Globalization, rising affluence in developing and transitional economies, improved infrastructure, and advancements in communication and information technologies have increased the opportunities for marketing services beyond borders (Ekeledo & Sivakamur, 1998; Javalgi & White, 2002). On a comparative basis, the service sector has become the most dynamic part of the global economy (Javalgi & White, 2002). Among services, the so-called knowledge-based sectors have been growing the fastest in developed economies, experiencing an average annual growth of 10–12% over the past several years (Styles, Patterson, & La, 2005). Knowledge-based services include management consulting, engineering, education, and information technology (Lovelock & Gummesson, 2004; Styles et al., 2005). Apart from general characteristics of services (e.g., intangibility and inseparability), knowledge-based services possess additional characteristics such as high customization, high uncertainty and resulting high risk.
