Final answer:
In low levels of customer participation in service delivery, customers have minimal involvement, and services become more standardized, often leading to discouragement of both buyers and sellers due to imperfect market information.
Step-by-step explanation:
Unlike in moderate levels of customer participation in the service delivery process, in low levels of customer participation, customers play a very minimal role, often just consuming or using the service provided. At lower levels of participation, services tend to be standardized, like those in the fast-food industry with defined roles and tasks that discourage the involvement of the customer in the production or delivery of the service. Imperfect information in the market may also lead to low participation, as buyers cannot assess the quality of the product, causing high-quality sellers to refrain from participating because they find it challenging to justify a higher price without demonstrable quality. This dynamic results in a discouragement of participants on both sides of the market.