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1 – 10 of 43Carolyn Jia’En Lo, Yelena Tsarenko and Dewi Tojib
Corporate scandals involving senior executives plague many businesses. Although customers and noncustomers may be exposed to news of the same scandal, they may appraise dimensions…
Abstract
Purpose
Corporate scandals involving senior executives plague many businesses. Although customers and noncustomers may be exposed to news of the same scandal, they may appraise dimensions of the transgression differently, thereby affecting post-scandal patronage intentions. The purpose of this study is to investigate whether and how consumer-firm affiliation affects future patronage intentions by examining nuances in customers’ vs noncustomers’ reactions toward the transgressor’s professional performance and immoral behavior.
Design/methodology/approach
Four between-subjects experimental studies were used to test whether performance-relevant and/or immorality-relevant pathways drive customers’ vs noncustomers’ post-scandal patronage intentions. The results were analyzed using analysis of variance, parallel mediation and serial mediation.
Findings
The results demonstrate that performance judgment, and not immorality judgment, drive the relationship between consumer-firm affiliation and post-scandal patronage intentions (Study 1a), regardless of the order of information presented (Study 1b). Customers form more positive performance judgments because they give more weight to performance-related information (Study 2), demonstrating a sequential effect of consumer-firm affiliation on post-scandal patronage intentions only through the performance-relevant, and not immorality-relevant, pathway (Study 3).
Research limitations/implications
This research contributes to the literature on social distance and moral judgments. Future research should examine other deleterious outcomes such as brand sabotage and negative word-of-mouth, as well as potential moderators including repeated transgressions and prevalence of the infraction in other firms.
Practical implications
This research offers important nuances for understanding how performance and immorality judgments differentially operate and affect post-scandal patronage intentions. The findings highlight the strategic value of communicating the leader’s performance (e.g. professional contributions) as a buffer against potential declining patronage.
Originality/value
Offering new insights into the extant literature and lay beliefs which contend that harsh moral judgment reduces patronage intentions, this research uncovers why and how exposure to the same scandal can result in varying moral judgments that subsequently influence patronage intentions. Importantly, this research shows that the performance-relevant pathway can explain why customers have higher post-scandal patronage intentions compared to noncustomers.
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Alessio Trentin, Thomas Aichner, Enrico Sandrin and Cipriano Forza
The operational capability of mass customization (MC) allows consumers to obtain products tailored to their idiosyncratic needs. This study aims to provide insights into the…
Abstract
Purpose
The operational capability of mass customization (MC) allows consumers to obtain products tailored to their idiosyncratic needs. This study aims to provide insights into the potential of this capability for countering a product's liability of foreignness – the negative effect of the out-group status of a product's country of origin (COO) on consumers' evaluations of the product.
Design/methodology/approach
Based on the social identity approach, it is hypothesized that this liability is reduced when a consumer product is mass-customized rather than standardized as per a mass-production strategy. This hypothesis is tested using a mixed between- and within-subject experiment.
Findings
When evaluating mass-produced sneakers, native German-speaking (Italian-speaking) South Tyrolean consumers rated the quality of Italian (German) sneakers significantly lower than that of German (Italian) sneakers. However, when the sneakers were mass-customized, this difference in perceived product quality was non-significant for both groups of consumers, supporting the research hypothesis.
Research limitations/implications
Future research could replicate this study in other samples, with other product types, COOs and countries of destination, as well as at different degrees of product customization.
Practical implications
Business-to-consumer firms contemplating the development of their MC capability are made aware that the benefits of this operational capability might go beyond the typical advantages highlighted by the existing literature.
Originality/value
This paper joins the discussion on MC value by offering a theoretical explanation and empirical support for another mechanism through which the operational capability of MC can create value, at least in business-to-consumer industries: by countering a product's possible liability of foreignness and thus increasing perceived product quality in export markets.
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The purpose of this study is to understand how and why consumers engage in market-shaping activities on behalf of firms.
Abstract
Purpose
The purpose of this study is to understand how and why consumers engage in market-shaping activities on behalf of firms.
Design/methodology/approach
This study uses a combination of archival, netnographic and interview methods to examine how consumers responded to the entry of Tesla into the U.S. automotive market.
Findings
Consumers are driven to engage in supportive institutional work by the culturally resonant ideologies embodied in Tesla’s strategic orientation. This work takes both discursive and practical forms and sees consumers adopting responsibilities typically associated with other actors, including activists and sales professionals.
Originality/value
In developing an account of an understudied phenomenon – consumers’ firm-supportive market shaping – this research extends theorization around institutional work and cultural branding.
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Tendai Chikweche and Richard Fletcher
The purpose of this paper is to expand knowledge about how middle class consumers in Sub-Saharan African markets behave, focusing on the potential role of social networks and the…
Abstract
Purpose
The purpose of this paper is to expand knowledge about how middle class consumers in Sub-Saharan African markets behave, focusing on the potential role of social networks and the subsequent interactions that take place between these consumers and firms.
Design/methodology/approach
A qualitative research method approach comprising personal interviews and observations targeted at consumers and business executives was used covering all four countries.
Findings
Key findings include identification of middle of the pyramid (MOP) social networks, their impact on consumer behaviour and nature of consumer and firm interactions that take place as a result of the impact of social networks.
Research limitations/implications
The sample size was restricted to 80 consumers in each of the four countries. This might limit generalisability.
Practical implications
The study provides managers with insights on the potential role of social networks on marketing to the MOP in Africa.
Social implications
The study provides managers with insights on the potential opportunities for corporate social responsibility solutions at the MOP.
Originality/value
Research into the middle class in markets other than western advanced economies is a relatively new area of study. The majority of studies on the middle class have focused on North America and Europe ignoring the merging middle class in Africa. Hence, this research expands knowledge by providing basis for exploring new insights on the emerging marketing opportunity within the middle class in Africa.
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This paper aims to begin to remedy deficiencies in the understanding of how the increased focus on service, even in manufacturing environments, relates to consumer desire for…
Abstract
Purpose
This paper aims to begin to remedy deficiencies in the understanding of how the increased focus on service, even in manufacturing environments, relates to consumer desire for relationships. The role of relationships in both services and physical goods has taken on a new meaning that should be further explored.
Design/methodology/approach
The qualitative study reported in this paper examines the extent to which consumers feel that they are in relationships with companies from a variety of product categories that range from search goods (easy to evaluate in advance of purchase) to credence goods (difficult to evaluate). The analysis is based on semi-structured interviews with 20 customers.
Findings
The results identify when consumers place an emphasis on specific relational behaviors in evaluating the product use experience. Specifically, trust, commitment and expertise seemed more important when products were difficult to evaluate in advance, whereas social benefits and special treatment were mentioned with search and credence products more than experience products.
Research limitations/implications
The results are exploratory and should be replicated and extended utilizing a larger, more representative sample before they are generalized to market.
Practical implications
The results have important implications for practitioners in both manufacturing and service industries, as they decide when and how to differentiate their service components and pursue relationships with consumers. Firms need to stand out from a service perspective.
Originality/value
The manuscript develops a more robust understanding of the relational behaviors that matter to customers and provides recommendations about how to best manage them.
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The sharp increase in interest in social networks among marketing scholars and practitioners has coincided with the rapid proliferation of social networks among broader…
Abstract
The sharp increase in interest in social networks among marketing scholars and practitioners has coincided with the rapid proliferation of social networks among broader populations. Considering the substantial body of research that has emerged, it is an opportune time to reflect on the state of social network research (SNR) in marketing. Therefore, this chapter reviews recent marketing research, organized according to substantive areas of interest, followed by a discussion of critical dimensions of SNR for researchers, including network actor characteristics, modes, boundaries, impacts, and mechanisms, as well as the relevant level of analysis. By documenting how SNR can inform marketing decisions and influence marketing outcomes, this study also establishes recommendations for research to advance the state of SNR in marketing. A 2 × 2 classification schema reveals four categories that might guide scholars' choices of research designs, theories, constructs, and measures for SNR.
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Syed H. Akhter and Paulo Fernando Pinto Barcellos
The purpose of this paper is to apply the structure‐conduct‐performance theory and the strategic fit concept to examine the effects of globalization on markets, strategies, and…
Abstract
Purpose
The purpose of this paper is to apply the structure‐conduct‐performance theory and the strategic fit concept to examine the effects of globalization on markets, strategies, and performance of business‐to‐consumer firms in Brazil.
Design/methodology/approach
The paper takes a qualitative approach to answer the research questions. Top decision makers such as president, chief executive officer, chairman of the board, vice president, and director of the companies were interviewed. The elite approach to in‐depth interviewing was followed to obtain reliable information from the decision makers.
Findings
Findings indicate that globalization and especially the entry of Chinese firms significantly changed market contexts in Brazil. Brazilian executives responded to changes in market contexts by shifting from production to customer orientation, building brand equity, developing new products, and differentiating offerings. Overall, marketing performance of Brazilian firms was positive, but profitability suffered.
Originality/value
The study contributes to the literature by showing that globalization has changed market contexts in Brazil by developing a new form of competition in which firms from emerging economies are now competing against each other. Findings from this study can provide useful theoretical and strategic insights into the behavior and performance of firms in other emerging markets.
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Glenn B. Voss and Zannie Giraud Voss
Proposes that successful implementation of a relationship marketing program requires a complement of strategies that satisfies and motivates customers through different phases of…
Abstract
Proposes that successful implementation of a relationship marketing program requires a complement of strategies that satisfies and motivates customers through different phases of relationship development. To accomplish this, firms simultaneously implement transactional marketing strategies and relational marketing strategies. Offers a case study of a non‐profit professional theater to demonstrate how a firm can implement multiple marketing strategies to achieve different relational objectives, and extends these findings to offer recommendations and managerial implications.
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António Dias, Lúcia Lima Rodrigues, Russell Craig and Maria Elisabete Neves
Corporate Social Responsibility (CSR) literature has focused mainly on larger firms. Only recently has discussion of the engagement of small and medium-sized enterprises (SMEs) in…
Abstract
Purpose
Corporate Social Responsibility (CSR) literature has focused mainly on larger firms. Only recently has discussion of the engagement of small and medium-sized enterprises (SMEs) in CSR emerged in research studies. Here we contribute to that growing discussion of CSR in SMEs by analyzing the disclosure practices of 57 Portuguese companies of different sizes (small, medium, large).
Design/methodology/approach
We use stakeholder theory to identify the stakeholders that SMEs and large firms prioritize. By means of thematic content analysis and an index of disclosure (calculated according to company type and stakeholder type) we analyze whether business characteristics influence CSR disclose strategies.
Findings
Companies give priority to CSR activities that are directly related to maintaining business and achieving economic results. CSR disclosure practices of SMEs and large companies do not differ significantly. However, larger companies disclose more information on Environment and Society. Companies who are closer to consumers disclose more information on Customers, Community and Society. The act of assuring a CSR report drives system improvements and extended CSR disclosure.
Research limitations/implications
We recognize that it is difficult to compare CSR in Small and large enterprises. For this reason, we have developed a methodology based on the most basic aspects of the CSRD, and therefore applicable without distinction to large and small companies.
Practical implications
A framework to evaluate the CSRD of SMEs was developed. We identify CSR indicators divided in five dimensions (customers, employees, environment, community and society) that are applicable to firms of all sizes.
Originality/value
This study extends knowledge of CSR by comparing the disclosure practices of SMEs and large (listed and un-listed) Portuguese companies. This study takes account of the particularities of SMEs and other fundamental business characteristics using a replicable assessment framework.
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Catherine Demangeot, Amanda J. Broderick and C. Samuel Craig
The purpose of this paper is to bring international marketing and consumer research attention to multicultural marketplaces as a new focal research lens. It develops a…
Abstract
Purpose
The purpose of this paper is to bring international marketing and consumer research attention to multicultural marketplaces as a new focal research lens. It develops a conceptualisation of multicultural marketplaces, demonstrating why they constitute new conceptual territory, before specifying five key areas for research development.
Design/methodology/approach
The paper draws from seminal international marketing literature and other fields to propose perspective shifts, and suggest theories and frameworks of potential usefulness to the five research areas.
Findings
The paper conceptualises multicultural marketplaces as place-centred environments (physical or virtual) where the marketers, consumers, brands, ideologies and institutions of multiple cultures converge at one point of concurrent interaction, while also being potentially connected to multiple cultures in other localities. Five key areas for research development are specified, each with a different conceptual focus: increasing complexity of cultural identities (identity), differentiation of national political contexts (national integration policies), intergroup conviviality practices and conflictual relationships (intergroup relations), interconnectedness of transnational networks (networks), and cultural dynamics requiring multicultural adaptiveness (competences).
Research limitations/implications
For each research area, a number of research avenues and theories and frameworks of potential interest are proposed.
Originality/value
The paper demonstrates why multicultural marketplaces constitute new conceptual territory for international marketing and consumer research; it provides a conceptualisation of these marketplaces and a comprehensive research agenda.
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