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The purpose of this paper is to investigate the effect of outsourcing and offshoring on brand loyalty in a service recovery context. In addition, the effect that consumer ethnocentrism has on these relationships is examined.

An experiment was designed using a series of service recovery scenarios that manipulated whether the recovery effort was conducted by an in-house/outsourced or local/offshored party.

The study shows that while outsourcing service recovery within the home country has no effect on loyalty, outsourcing to an offshore location does. In addition, the effect of offshoring of loyalty is greater for consumers who hold ethnocentric tendencies.

This research suggests the need to consider the delivery channel of service recovery to recover a service failure and retain customer loyalty. The results show that outsourcing within a local country may be effective, but the risks associated with offshoring are much greater.

Despite previous attempts to understand outsourcing and offshoring in a range of service scenarios, their role in service recovery is not well understood. Similarly, the impact that ethnocentrism might have on this process is overlooked. This paper therefore responds to calls within business theory, practice and consults for further study in this under-researched area.

This paper aims to develop impact value (IV), both theoretically and practically, to better account for the processes of value creation within complex service ecosystems.

This conceptual paper connects the complex systems nature of service ecosystems and the complexity of issues of sustainability and well-being to the need for a conceptual and analytical extension of value within service ecosystems.

This paper defines IV as enhancement or diminishment of the potential of stakeholders (beyond the service beneficiary), to transfer or transform resources in the future, based on direct and indirect involvement in the processes of value-in-exchange and value-in-use creation.

This paper provides an initial exploration of the theoretical and practical extension of value through the IV concept.

Sustainable service ecosystems require actors to understand their role in the service process and account for the impact pathways of their value creation activities. This paper proposes a framework for developing sustainable strategies to account for IV.

This research expands service research’s core concept of value by integrating the complex systems nature of service ecosystems, sustainability and well-being. IV provides a means to address the systemic impact pathways of service and value creation processes and bridge idiosyncratic value-in-use and broader system viability concepts.

Despite major market-orientated reforms to enhance the competitive advantage of Russian domestic firms, the antecedents and consequences of frontline employee (FLE) customer orientation (CO) remain poorly understood. Acknowledging this paucity of research, the authors draw upon a hierarchical model of personality to examine personality trait determinants of CO and job performance in the context of the Russian financial services sector.

Data was collected from 186 FLEs using a self-administered survey questionnaire and analyzed using AMOS.

The results identify which basic personality traits matter in translating FLE CO behavior into higher job performance in the Russian retail-banking sector.

Limitations of the study include the generalizability of the findings within one organizational context. Future research should examine whether the found associations hold true for FLEs working in other service sectors in other parts of the country.

Study findings differ significantly to Western-based research and provide valuable insight into the process that motivates Russian FLEs in a commercial retail setting to perform better in their jobs.

This is the first empirical study that employs a hierarchical model of the effects of basic personality traits on FLE CO and job performance in a former socialist/communist economy. We also advance existing research on FLE CO by distinguishing between two types of CO behavior. Findings provide an understanding of those personality traits that affect the ability of Russian FLEs to better satisfy customer needs and to interact and serve customers in an enjoyable way.

The purpose of this paper is to introduce ecotones to the service literature as a conceptual extension of the service ecosystem (SE) framework.

To synthesise the contribution, an illustrative empirical case study with research of nine organisations and their service systems is developed.

Boundaries connect systems with their environment. Ecotone, a concept from natural ecosystems, provides a useful concept representing the boundary zones between adjacent systems, supporting emergent phenomena. The authors find that a service ecotone emerges through the interactions occurring at the intersections of relational, technological and institutional boundaries of two unique SEs. The case demonstrates ecotone edge effects – the unique landscape and diversity of actors and their roles – which play a role in the co-evolution of the separate SEs.

The ecotone concept provides an understanding of SE boundaries, helping practitioners understand the complex environments they operate. Developing strategy in complex ecosystems requires a clear understanding of where the boundaries of dependence and interdependence lie. The ecotone concept helps practitioners to develop responsiveness and resilience to their environment and take advantage of resources that may be currently unrecognised.

The authors introduce the ecotone concept and integrate it with service theory. This paper develops service ecotones for understanding the relationship between different systems that influence their functioning and development. Thus, ecotones suggest new avenues for understanding the diversity and roles of actors, and how new structural properties, resources and practices come to be through the tensions and interactions created in these complex boundaries of SEs.

The purpose of this paper is to examine Asian consumers' attitudes towards television advertisements (ads) to provide an insight into the antecedents and consequences of liked and disliked ads and the cultural differences that influence these relationships.

A matched sample of young consumers from four Asian cities was asked to nominate ads that they both liked and disliked. They also provided reasons as to why they were liked and disliked and the effect this had on their purchase intentions. The results were analysed using multiple and logistic regression.

Findings show that ad likeability increases if people feel that advertising provides something to talk about. Conversely, people who find advertising annoying have higher ratings of ad dislikeability. Results also show that a close relationship exists between liking (disliking) television ads and buying more (less) of the advertised products. However, differences exist between Asian cities.

The results suggest that adherence to a standardised regional advertising strategy based on assumptions that close geography and a seemingly sufficiently close culture within the Asian region is appropriate, could lead to disappointing results. The only commonality is that disliked ads reduce intention to purchase.

Previous research does not consider the unique influences of ad likeability and dislikeability in the decision of whether to standardize or adapt advertising within the Asian region.

This paper aims to empirically test a conceptual model, analysing the effects that features of mobile phone location-based advertising (MLBA) services (customisation, permission and intrusiveness) have on attitudes and purchase intentions, using the theory of interactive advertising. In addition, the moderating effect of receiving such messages at point of purchase (POP) is assessed.

Scenario-based online surveys were used, which manipulated the timing and levels of customisation of the message. Responses were received from 422 “net generation” consumers.

Customisation, permission and intrusiveness all have a direct effect on consumer attitudes towards MLBA messages, and subsequently purchase intention. In addition, receiving such messages at POP strengthens the relationships between intrusiveness and attitudes, but surprisingly weakens the effect of customisation on attitudes.

Future research could consider more widespread product categories and try to measure actual behaviour. There is also potential to investigate mobile relationship marketing.

Through permission, consumers can control the flow of messages and customise the messages they receive. While consumers benefit greatly, managers also gain opportunities through facilitating co-creative functions. These efforts will be in vain, however, if the consumer perceives the messages to be intrusive.

While there is much research that looks at the impact of interactive advertising features on attitudes and behaviour, research has yet to consider these factors in an MLBA context. In addition, it has not considered how providing such messages at POP can influence these relationships.

The purpose of this paper is to assess the organisational readiness of small and medium scaled hotels to serve indigenous local cuisines and to segment the hotel properties for gastronomic tourism campaigning and destination marketing aims. The study also explores how the concept of organisational readiness relates to menu decision makers’ intentions, perceived benefits and organisational characteristics.

Organisational readiness was measured by three dimensions (culture, climate and capacity). Data were derived from a survey of primary menu decision makers from 187 hotels in Ghana. Using a combination of hierarchical and non-hierarchical (K-means) algorithms, the hotels were clustered into homogenous groups based on the original raw scores of hotel readiness indicators. The resultant cluster solution was then validated and profiled against relevant external variables.

Analyses reveal three clusters which distinguish hotels by the degree of readiness to serve indigenous local dishes. The resultant segments differ by hotel category (star rating) as well as by the job positions and perceptions of primary menu decision makers. Unexpectedly, lower class hotels displayed significantly greater levels of organisational readiness to serve indigenous cuisines than those in the higher class category.

The study demonstrates that organisational readiness is related to perceived benefits and intentions. Among others, the findings advance the understanding of organisational readiness in hotels in the context of menu decision-making. Given the need to embed new practices in a fast-changing hospitality environment, insights drawn could also serve as a basis for future research. Generalisability of empirical findings may be limited by the socio-economic context as well as the study’s focus on small and medium scaled hotels.

This paper supports hotel businesses in understanding the concept of organisational readiness and its relation to organisational characteristics and menu decision-making. By highlighting the different clusters of hotels, the findings accentuate the need for destination marketers and gastronomic tourism campaigners to target higher classed hotels and draw attention to the potential benefits of serving indigenous cuisines while addressing latent concerns. The results further underscore the role of organisational culture and the necessity for such campaign activities to be directed towards those with ample influence within the hierarchical structures of hotels.

This is an initial attempt to examine the application of the organisational readiness concept to menu decision-making in hotels and to explore the implications for segmentation purposes. Further analysis revealed the critical role of organisational culture on menu decision-making patterns. Thus, the paper applies an important element of organisational development theory to the hotel industry and represents a valuable contribution to the scant literature on indigenous cuisines in hotel food service contexts.