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1 – 10 of over 2000René Hubert Kerschbaumer, Thomas Foscht and Andreas B. Eisingerich
The trend toward subscription economy accelerated the rise of access-based consumption models for durable consumer goods, replacing individual ownership with subscription…
Abstract
Purpose
The trend toward subscription economy accelerated the rise of access-based consumption models for durable consumer goods, replacing individual ownership with subscription contracts. At the same time, disruptive platform businesses have arisen in several consumer markets, bypassing traditional value chains while growing through network effects. In a conceptual approach, the authors address the future market for durable consumer goods in light of developments toward access-based consumption, subscription models and platform business models.
Design/methodology/approach
In a conceptual approach, the authors apply a scenario analysis following the Framework Foresight method and address trends, constants, plans and projections shaping the future market of subscriptions for durable goods. The authors create a baseline scenario and two alternative scenarios for the future of consumer durables and thereby discuss platform growth stages and implications for manufacturer brands.
Findings
The rising market power of platform companies leads to a baseline scenario where these platforms enter the market of subscriptions for durable goods. Alternative scenario 1 addresses the successful market entry of new platform businesses. In contrast, alternative scenario 2 describes the rise of manufacturer brand platforms.
Originality/value
This conceptual research enriches the discussion of access-based business models by creating scenarios depicting possible future developments. Moreover, it adds to the increasing focus on platform business models and thereby addresses the role of traditional manufacturer brands in markets for durable consumer goods subscriptions.
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Kavya Satish, Abhishek Venkatesh and Anand Shankar Raja Manivannan
This research aims to study the recent changes in consumer behaviour and purchase pattern during the Covid-19 pandemic. Covid-19 pandemic has forced consumers to stockpile, which…
Abstract
Purpose
This research aims to study the recent changes in consumer behaviour and purchase pattern during the Covid-19 pandemic. Covid-19 pandemic has forced consumers to stockpile, which has its own consequences. The article proposes the importance of “minimalism in consumption” to avoid greed in consumer behaviour.
Design/methodology/approach
The data are collected from consumers across India using an online survey during the first lockdown from March 2020 to May 2020. A simple random sampling technique is used for data collection, and the collected data are analysed using SPSS version 26.
Findings
The study states that there will be a shift in the purchase pattern of the consumers if lockdowns are imposed in the future or during any other crisis. However, at present, consumers have developed a stockpiling mentality fearing the unavailability of essentials.
Research limitations/implications
Pandemic has stimulated a drastic change in consumer behaviour, which is a situational effect. Each crisis affects consumer behaviour in a different way. In this research, we have considered only fear, greed and anxiety in the light of Covid-19. On the other hand, the research intends to draw realistic conclusions based on consumers' experiences during the lockdown.
Practical implications
The study proposes solutions that will help marketers frame exclusive strategies for a future crisis. Analysing the change in consumer behaviour and the shift in purchase patterns will emphasize the importance of market research to know consumer expectations during a crisis situation in order to cater to their new demands.
Social implications
Consumers who stockpile should realize the unavailability of goods to other consumers who are in need. They also have to understand the importance of “minimalism in consumption” during a crisis.
Originality/value
The data are collected during the most taxing crisis, the Covid-19 pandemic. Data are collected at the peak time of the first wave of Covid-19 in India, during a major shift in consumers' behaviour and purchase pattern. The article brings to the larger consciousness and also preaches a life lesson to all consumers to execute their responsibilities in consumption without over-demands and expectations.
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Comprehensive studies examining how Korean e-commerce trade works are currently limited. This study seeks to explore whether Korea’s e-commerce trade is more applicable to…
Abstract
Comprehensive studies examining how Korean e-commerce trade works are currently limited. This study seeks to explore whether Korea’s e-commerce trade is more applicable to traditional trade theory or to modern theories. According to our analysis, the share of intra-industry trade (IIT) in modern trade theory is less than that of general trade for Korean e-commerce. Therefore, trade based on comparative advantage can be more valid in explaining e-commerce trade. From results in analyzing the gravity model, it was found that Korea’s e-commerce exports are higher as IIT with its FTA partners. In contrast, it is found that the lower the proportion of e-commerce trade, the higher chance for the import growth. Lastly, this study looked at what kind of comparative advantage is realized through imports. While Korea has been mostly exporting goods of high quality, its major trading partners import products based on price and selection of goods. In order for Korea’s e-commerce to grow, a more strategic approach is necessary. A strategy of high price based on superior quality is not effective, and as e-commerce has radically reduced sales and marketing costs, so a price reduction needs to be reflected in the price of goods for consumers.
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Md. Ashraful Alam, Debashish Roy, Rehana Akther and Rajidul Hoque
Consumer ethnocentrism (CE) is a matter of interest for marketers over the decades. However, buying intentions toward domestically produced household electronic products in…
Abstract
Purpose
Consumer ethnocentrism (CE) is a matter of interest for marketers over the decades. However, buying intentions toward domestically produced household electronic products in developing and underdeveloped countries have not been examined sufficiently. Hence, this study investigated the consumers' ethnocentrism and attitude toward domestically-produced household electronic goods. The purpose of this study is to examine the influence of consumer demographic attributes on ethnocentrism and its moderating effect on choosing domestically produced household electronic goods in the context of Bangladesh.
Design/methodology/approach
Primary data have been collected from a sample of 172 respondents using a mall-intercept survey. Consumers' ethnocentrism level has been measured using CETSCALE on a five-point Likert scale. ANOVA and t-test were performed to compare different demographic groups regarding ethnocentrism levels. This study also applied the qualitative method by applying a manual approach.
Findings
The result shows that consumers' ethnocentrism levels do not vary with gender and income level. However, other demographic attributes, like occupation, age and education level, play a considerable role in CE tendency.
Originality/value
The study is one of the few that examines the consumers' ethnocentrism and attitudes toward electronic products produced in a developing country. The researchers expect that the outcome of the study would contribute to the domestic manufacturer focusing more rigorously on producing electronic products that would be accepted locally as well as globally.
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Eva Hofmann, Barbara Hartl and Elfriede Penz
Collaborative consumption, such as car sharing, specifically implicates customer-to-customer interaction, which must be regulated by service providers (companies, peers and…
Abstract
Purpose
Collaborative consumption, such as car sharing, specifically implicates customer-to-customer interaction, which must be regulated by service providers (companies, peers and self-regulating communities), comprising different challenges for business organizations. While in conventional business relations, consumers are protected from undesirable customer behavior by laws, regulations (power) in the context of collaborative consumption are rare, so that trust becomes more relevant. It is the purpose of the study to investigate possible mechanisms to prevent undesirable customers in collaborative consumption.
Design/methodology/approach
In between subject designs, samples of 186 and 328 consumers filled in experimental online questionnaires with vignettes. Analyses were made of differences among car sharing companies, private persons and car sharing communities in terms of the power of providers, trust in providers and trust in other users of the shared goods, undesirable customer behavior and consumer–provider relations.
Findings
Companies, private persons and self-regulating communities differ in terms of perceived power and trust. Participants specifically perceive mainly coercive power with the car sharing company, but with the private person and the community, reason-based trust in other users is perceived as prevalent. Nevertheless, undesirable customer behavior varies only marginally over the models.
Originality/value
The present study is the first to investigate measures to prevent undesirable customer behavior over different collaborative consumption models. This enables appropriate identification of market segments and tailoring of services. The study identifies opportunities for companies in contrast to private persons and self-regulating communities and, in doing so, provides important stimulation for marketing strategy and theory development.
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Francisco Javier Blanco-Encomienda, Shuo Chen and David Molina-Muñoz
Due to the intense rivalry in the smartphone market, manufacturers of mobile phones are becoming increasingly interested in knowing the factors that influence consumers' purchase…
Abstract
Purpose
Due to the intense rivalry in the smartphone market, manufacturers of mobile phones are becoming increasingly interested in knowing the factors that influence consumers' purchase intention. This paper aims to examine the effect of country-of-origin image, brand image and attitude towards the brand on the purchase intention of smartphone users.
Design/methodology/approach
An empirical study was performed based on the information gathered from smartphone users. The structural equation modeling (SEM) technique was applied to examine the hypotheses.
Findings
The authors found that brand image and attitude towards the brand significantly influence consumer purchase intention. Additionally, there is an indirect effect even when the nation of origin image does not directly influence the consumer's purchase intention. Indeed, brand image and attitude towards the brand act as a mediator between the country-of-origin image and purchase intention.
Originality/value
This study presents a conceptual model on the impact of country-of-origin image on the propensity of consumers to buy smartphones in a field where little research has been done. The investigation offers a consumer-focused analysis regarding the country-of-origin image. This suggests a significant shift from the current strategy, which is frequently centered on the viewpoint of the companies.
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Jung Taik Hyun, Jun Yeop Lee and Jin Young Hong
This paper examines global imbalance and rebalancing issues from the viewpoint of Korea. As IMF (2009) notes, the unwinding of global imbalance seems inevitable and, in fact, it…
Abstract
This paper examines global imbalance and rebalancing issues from the viewpoint of Korea. As IMF (2009) notes, the unwinding of global imbalance seems inevitable and, in fact, it is in progress. We illustrate that Korea, with a flexible exchange rate system and relatively balanced current accounts, has little direct linkage to global imbalance. However, we also find that Korea is not immune to the costly adjustment process of imbalance due to the triangular trade between Korea, China and the U.S. The fact that Korea is ‘indirectly’ linked to global imbalance limits Korea’s ability to cope with the situation. Boosting domestic demand, often mentioned recommendation for East Asia, is not an appropriate solution for Korea with low personal savings rate. A lot depends on China’s policy. If China reduces its dependence on U.S. market and increases domestic consumption despite unemployment risk in export manufacturing sector, it will provide Korea with an opportunity for more stable growth based on China’s final demand. Korea can also make efforts to increase economic integration and expand monetary cooperation in Asia that would help to increase consumption demands and final goods trade in the region.
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Maryam Vaziri, Joan Llonch-Andreu and Pilar López-Belbeze
This paper aims to analyze different brand clarity levels (BCLs) of local, global and glocal types of brands in fast-moving consumer goods from the consumer's perspective. The…
Abstract
Purpose
This paper aims to analyze different brand clarity levels (BCLs) of local, global and glocal types of brands in fast-moving consumer goods from the consumer's perspective. The study also intends to identify whether the consumer's previous experience with such brands may impact BCL.
Design/methodology/approach
Twenty-eight global and local brands were used to test the hypotheses by conducting a survey with 400 consumers in the emerging economy of Iran. The authors applied a quantitative technique of brand classification, previously proposed in the literature. After categorizing the brands as local, global or glocal, one-way ANOVA, Tukey post hoc and t-test analyses were performed to identify whether the different types of brands had different BCLs.
Findings
The results showed that brand clarity was significantly higher for local bands than for global or glocal brands and that it was higher for glocal bands than for global brands. Furthermore, the consumer's prior experience with a brand had no impact on BCL for different types of brands.
Social implications
For global brand managers, it is essential to know that local brands in Middle Eastern emerging markets may have more brand clarity than global brands. Therefore, if global brands intend to enter these markets, adopting a glocal positioning appears to be a helpful strategy. Besides, the results suggest that managers should analyze brand categorization from the consumer's perspective, i.e. from a subjective instead of an objective perspective.
Originality/value
This was the first study analyzing the BCL of local, global and glocal brands and identifying significant differences in their BCL.
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Due to the growing percentage share of urban dwellers, the physical distribution of products faces altering conditions. This research explores the effects that urbanization has on…
Abstract
Purpose
Due to the growing percentage share of urban dwellers, the physical distribution of products faces altering conditions. This research explores the effects that urbanization has on the performance of a fast-moving consumer goods distribution network. A focus is set on changes in distribution cost, the cost-minimal network design, and greenhouse gas emissions.
Design/methodology/approach
The analyses are based on a quantitative distribution network model of an existing manufacturer of consumer goods.
Findings
The results indicate that the foreseen population shift will affect the network's economic and environmental performance. Effects are, among others, due to differences in the efficiency of supplying urban and nonurban regions. The combined effects of urbanization and the development of the population size will even more affect the network's performance.
Originality/value
Research dealing with distribution logistics and urbanization primarily focuses on city logistics. In this paper, the object of analysis is the entire distribution system.
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Jung Taik Hyun and Jun Yeop Lee
This paper examined the future prospects of China’s economic development and its impact on the East Asian Economy and the economic integration of the region. The key issue to…
Abstract
This paper examined the future prospects of China’s economic development and its impact on the East Asian Economy and the economic integration of the region. The key issue to China’s economic growth is the contradiction between the socialist political system and a market-based economy. The overall assessment is that China will be able to manage the transformation of the nation into a steadily growing market economy.
We also found that China is the key country forming a triangular trading block which has implemented the international division of labor in the North-East Asian region. China’s rapid export growth and increased market share in the world economy is not a threat but a new opportunity for the East Asian countries. The rise of China will certainly be accompanied by an expansion of a consumer market, which will also broaden business opportunities for East Asian.
Despite the interdependence between East Asian countries, a regional trading bloc embracing East Asia has not been created yet. The future prospects for realizing the vision of a regional free trade agreement in East Asia in the foreseeable future is not bright, either.
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