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Book part
Publication date: 3 July 2018

Neil A. Morgan and Douglas W. Vorhies

The marketing literature indicates that a firm’s organizational culture plays a critical role in determining its market orientation (MO) and thereby the firm’s ability to…

Abstract

Purpose

The marketing literature indicates that a firm’s organizational culture plays a critical role in determining its market orientation (MO) and thereby the firm’s ability to successfully adapt to its environment to achieve superior business performance. However, our understanding of the organizational culture of market-oriented firms and its relationship with business performance remains limited in a number of important ways. Drawing on the behavioral theory of the firm and the competing values theory perspective on organizational culture, our empirical study addresses important knowledge gaps concerning the relationship between firm MO culture, MO behaviors, innovation, customer satisfaction, and business performance.

Methodology/approach

We used a survey methodology with Clan Cultural Orientation, Adhocracy Cultural Orientation, Market Cultural Orientation, and Hierarchy Cultural Orientation Clan. Market Orientation Behaviors, Innovation, and Customer Satisfaction and CFROA t (Net Operating Income + Depreciation and AmortizationDisposal of Assets)/Total Assets.

Findings

The overall fit of the first Confirmatory Factor Analysis (CFA) containing the three MO behavior sub-scales, the four organizational culture scales, and the innovation and satisfaction performance measures was good with a χ 2 = 760.89, 524 df, p < 0.001; CFI = 0.916 and RMSEA = 0.055. The overall fit of the second CFA containing the business strategy, bureaucracy, and customer expectations control variables was also good with a χ 2 = 243.26, 156 df, p < 0.001; CFI = 0.937 and RMSEA = 0.061. We also subsequently ran a third CFA in which the MO behavior construct was modeled as a second-order factor comprising the three first-order sub-scales (generation of market intelligence, dissemination of market intelligence, and responsiveness to market intelligence) each of which in turn arose from the relevant survey indicants. This measurement model also fit well with the data with a χ 2 = 84.06, 63 df, p < 0.039; CFI = 0.955 and RMSEA = 0.047. Regressions using seemingly unrelated regressions (SUR) with control variables and with R 2 values ranging from 0.28 to 0.54.

Practical implications

MO culture has an important direct effect on firms’ financial performance as well as an indirect effect via MO behaviors and innovations. Importantly, our findings suggest that MO culture facilitates value-creating behaviors above and beyond those identified in the marketing literature as MO behaviors. In contrast to a series of studies by Deshpandé and colleagues (1993, 1999, 2000, 2004), our empirical results suggest the value of the internally oriented Clan and to a lesser degree Hierarchy cultural orientations as well as the more externally oriented Adhocracy and Market cultural orientations. The benchmark ideal MO culture profile we identify is consistent with organization theory conceptualizations of strong balanced organizational cultures in which each of the four competing values orientations is simultaneously exhibited to a significant degree (e.g., Cameron & Freeman, 1991). Our findings indicate that the organizational culture domain of MO appears to be at least as important (if not more so) in explaining firm performance and suggest that researchers need to re-visit the conceptualization, and perhaps more importantly the operationalization, of MO as a central construct in strategic marketing thought.

Originality/value

In building an MO culture, an important first step is to assess the firm’s existing organizational culture profile (e.g., Goodman, Zammuto, & Gifford, 2001). Organization theory researchers have developed competing values theory-based organizational culture assessment tools that can provide managers with an easily accessible mechanism for accomplishing this (Cameron & Quinn, 1999). The profile of the firm’s existing culture and the profile of the ideal culture for MO from our study can then be plotted on a “spider’s web” graphical representation (e.g., Hooijberg & Petrock, 1993). This aids the comparison of the firm’s existing cultural profile with the ideal MO profile, enabling managers to easily diagnose the areas, direction, and magnitude MO culture profile “gaps” in their firm (Cameron, 1997). Specific gap-closing plans and tactics for gaps on each of the four cultural orientations can then be identified as part of the development of a change management program designed to create an MO culture profile (e.g., Chang & Wiebe, 1996). Cameron and Quinn’s (1999) workbook provides managers with an excellent operational resource for planning and undertaking such gap-closing organizational culture change initiatives.

Details

Innovation and Strategy
Type: Book
ISBN: 978-1-78754-828-2

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Article
Publication date: 26 October 2012

Katja Soyez

The purpose of this paper is to link national cultural values to personal pro‐environmental value orientations, in order to investigate why the salience of…

Abstract

Purpose

The purpose of this paper is to link national cultural values to personal pro‐environmental value orientations, in order to investigate why the salience of pro‐environmental value orientations differs cross‐culturally. A value‐based model is proposed and tested in a multinational study.

Design/methodology/approach

An empirical investigation of 1,096 consumers was conducted in five nations with a different cultural profile on the two cultural dimensions in‐group collectivism and assertiveness. The paper applies multi‐group structural equation modelling to test the moderating effect of culture on the impact of pro‐environmental values on attitudes and subjective norms.

Findings

The study reveals that the influence of a pro‐environmental value orientation differs substantially, according to national cultural values. While an ecocentric value orientation is important in the US, Canadian, German, and Australian samples which hold individualistic values, an anthropocentric value orientation is salient in the Russian sample, characterized by collectivistic values. The hypothesized influence of the national cultural value assertiveness, however, could not be established decisively.

Research limitations/implications

First, the present study considers culture as a national value on an aggregated level. Future studies should take into account cultural values at different levels of aggregation. Second, since only one collectivistic society is the object of the investigation, the results are limited in terms of generalizability.

Practical implications

In order to address the ecocentric value orientation in the analyzed individualistic societies, marketers should emphasize benefits for the environment in the USA, Canada, Australia, and Germany. By contrast, the positive consequences for humankind in general and future generations should be stressed in the collectivistic Russian sample.

Originality/value

The paper contributes to the literature by integrating both individual and national perspectives on the value‐based drivers of environmental concern. The study also provides insight into pro‐environmental consumer behavior in an emerging market (namely Russia), which has so far been neglected in cross‐cultural research.

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Article
Publication date: 1 February 1998

Paul Sparrow and Pei‐Chuan Wu

Examines the relationships between cultural values and preferences for human resource management (HRM) policies and practices in a sample of Taiwanese employees…

Abstract

Examines the relationships between cultural values and preferences for human resource management (HRM) policies and practices in a sample of Taiwanese employees. Specifically, seeks to examine patterns of Chinese national culture in Taiwan, to identify the preferences of employees for specific HRM policies and practices, and to explore the extent to which individual cultural value orientations shape individual preferences for HRM policies and practices. Presents findings from data based on 452 employees from the shopfloor to senior management positions in seven Taiwanese organisations. By controlling the measure of national culture in terms of value orientations, it is found that they account for from only 5 per cent to 10 per cent of the total individual variance in HRM preference. A factor analysis supports the view that national culture value orientations represent a separate construct to both work values and more traditional measures of work outcomes, such as job satisfaction and commitment.

Details

Employee Relations, vol. 20 no. 1
Type: Research Article
ISSN: 0142-5455

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Article
Publication date: 2 February 2015

Zhou Jiang, Paul J. Gollan and Gordon Brooks

The purpose of this paper is to examine whether and how two individual value orientations – Doing (the tendency to commit to goals and hold a strong work ethic) and…

Abstract

Purpose

The purpose of this paper is to examine whether and how two individual value orientations – Doing (the tendency to commit to goals and hold a strong work ethic) and Mastery (an orientation toward seeking control over outside forces) – moderate: the relationship between organizational justice and affective organizational commitment, and the mediation role of organizational trust in this relationship.

Design/methodology/approach

The authors collected data from 706 employees working in 65 universities across China, South Korea, and Australia. Multi-group confirmatory factor analyses were employed to examine the cross-cultural equivalence of the measures. Hierarchical regressions were performed to test moderating effects of the two cultural value orientations.

Findings

Results from the full sample showed that Doing and Mastery moderated the distributive justice-commitment relationship and the procedural justice-trust relationship. Comparisons between countries demonstrated limited cross-cultural differences.

Practical implications

The present study adds to the understanding of the impact of individual and cultural differences on the relationship between justice and commitment, helping managers understand how employees’ reactions to justice are influenced by cultural value orientations.

Originality/value

This study is a pioneer in empirically integrating the value orientation framework (e.g. Doing and Mastery orientations) and justice research in a cross-cultural context based in the Asia Pacific region. It also advances cross-cultural justice research through using a mediation-moderation combination.

Details

Cross Cultural Management, vol. 22 no. 1
Type: Research Article
ISSN: 1352-7606

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Article
Publication date: 3 July 2007

Wang Qian, Mohammed Abdur Razzaque and Kau Ah Keng

The purpose of this paper is to report the results of a study undertaken to investigate the gift‐giving behavior of consumers in the People's Republic of China (PRC…

Abstract

Purpose

The purpose of this paper is to report the results of a study undertaken to investigate the gift‐giving behavior of consumers in the People's Republic of China (PRC) during the Chinese New Year and the influence exerted by Chinese cultural values on such behavior.

Design/methodology/approach

Using a survey among a large sample of people in the city of Tianjin, gift‐giving behavior was measured by the importance accorded to gift‐giving, the amount given, the effort spent on gift selection and brand orientation when selecting gifts. The cultural values examined were renqing (human obligations), guanxi (relationship), yuan (destiny or fate), reciprocity, family orientation and Mianzi (face). Factor analysis and structural equation modeling were used to analyze the data.

Findings

Results indicated that Chinese cultural values as a whole as well as most of its components investigated in this research had positive effects on the various gift‐giving behaviors. The “face” component was, however, found to affect only the importance attached to gift‐giving, the amount given and the choice of brand.

Research limitations/implications

Research results should be interpreted with caution as the study was limited to Tianjin – one of the several major cities in the PRC. Also the Chinese New Year may not be representative of other occasions when gifts are exchanged.

Practical implications

The results of this investigation would benefit practitioners involved in the marketing of “gift items” in the PRC by providing them with a clear understanding of the general consumption patterns of the PRC urban consumers, insights into the various antecedents of gift‐giving and linking them with various aspects of Chinese cultural values. The research findings would also benefit researchers, academics and others interested in the PRC market by making them familiar with some of the salient aspects that characterize Chinese consumers.

Originality/value

This study develops a new model describing the relationships among values (Chinese cultural value and personal value), motivation for gift‐giving and gift‐giving behavior. It also develops new scales for measuring the constructs such as Chinese cultural values, motivation for gift‐giving and gift‐giving behavior.

Details

Journal of Consumer Marketing, vol. 24 no. 4
Type: Research Article
ISSN: 0736-3761

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Book part
Publication date: 1 January 2005

Richard Reeves-Ellington

Conceptualizing trust alone or as the starting point for understanding both trust and distrust is insufficient. Therefore, this chapter focuses on the construction of…

Abstract

Conceptualizing trust alone or as the starting point for understanding both trust and distrust is insufficient. Therefore, this chapter focuses on the construction of phenotypic trustscapes and distrustscapes that permit an abstract exploration of the concepts of trust and distrust using societal and dyadic relationships and perceptions of the individual as the units of analysis. For theoretical understanding of trust and distrust, it uses social and evolutionary biologic multi-level theory. This chapter builds on the existing trust literature in three ways: (1) by triangulating on trust and distrust through the use of a number of research methodologies; (2) by placing trust and distrust in value orientation theory and models; and (3) by extricating trust and distrust from reciprocity constructs, and placing them into separate phenotypes: trustscapes and distrustscapes. These efforts show that both trust and distrust are naturally occurring phenomena, with one or the other predominant in specific contexts. The chapter includes scenarios in Japan, Bulgaria, and Indonesia to demonstrate how micro- and macro-level examples of trustscapes and distrustscapes function.

Details

Multi-level Issues in Organizational Behavior and Processes
Type: Book
ISBN: 978-1-84950-269-6

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Article
Publication date: 13 June 2019

Yujie Wei, Blaise Bergiel and Lingfang Song

The purpose of this paper is to examine the possibility that individual differences in consumer choice of cognac are at least partially influenced by parental cultural

Abstract

Purpose

The purpose of this paper is to examine the possibility that individual differences in consumer choice of cognac are at least partially influenced by parental cultural capital. Also examined are ten value orientations factors (e.g. hedonism and self-direction) and attitudes toward France, cognac’s country-of-origin that may affect the degree of this intergenerational influence.

Design/methodology/approach

The survey research measures parents’ cultural capital, value orientations and attitude toward France and purchase intention using recognized scales. Data were collected from the faculty and students of a major university located in the southeast of the USA. The sample size was 234.

Findings

The results confirm that parental cultural capital, consumer value orientations and attitudes toward France have significant impacts on the consumer’s willingness to purchase cognac. Adult children of high cultural capital parents are more likely to buy cognac.

Practical implications

The findings of this paper provide meaningful insights into intergenerational influences on consumer purchase intention of cognac and socialization theory. The paper provides several managerial implications for segmentation, targeting and positioning of cognac in the US market.

Originality/value

As the first of its kind, this paper introduces the parents’ cultural capital into the consumer research regarding cognac. The longer-term effects that parents can have on grown children’s consumer behavior are confirmed, suggesting that parental influence persists well into adulthood and has impact on their brand preference.

Details

International Journal of Wine Business Research, vol. 31 no. 3
Type: Research Article
ISSN: 1751-1062

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Article
Publication date: 8 February 2008

Alan Fish, Ramudu Bhanugopan and Julie Cogin

This research was undertaken to further understand a “values” based taxonomy designed to assess the “cultural and business suitability” of managers for appointment to…

Abstract

Purpose

This research was undertaken to further understand a “values” based taxonomy designed to assess the “cultural and business suitability” of managers for appointment to cross‐border business and management roles. In particular, this paper aims to explore the extrapolative and interrelated nature of a two‐dimensional bipolar taxonomy of value orientations; as well as the nature and strength of the relationship between the model's predictors.

Design/methodology/approach

A sample of 262 cross‐border managers working for a large transnational American owned logistics firm responded to this study. The group completed a questionnaire based on a two‐dimensional taxonomy of value orientations. The dimensions tested were first a manager's values viz., their potential “National Identity”. Secondly, a manager's values vis., their potential “Cross‐Border Business Focus”. Factor analysis and canonical correlations were employed to identify key factor constructs and then to evaluate the measurement fit between the constructs; also to examine any significant relationship between the identified constructs.

Findings

Results support both the extrapolative and interrelated nature of the taxonomy with significant results (p<0.05) confirming the strength of the relationships between the identified constructs as potential predictors of “cultural and business impact” and hence “individual suitability” for cross‐border assignments.

Research limitations/implications

Whilst the research is limited to one large US‐owned transnational logistics firm, the diversity of respondents with respect to cultural background; age, gender and amount of experience has not impacted results. Results suggest that awareness of both a manager's “National Identity” and “Cross‐Border Business Focus”, may provide useful additional information vis., a manager's cultural and business impact and hence assist in the selection of managers for cross‐border assignments.

Originality/value

Results appear to provide useful insights into the potential “cultural and business suitability” of managers; as well as the early identification of managers, for important cross‐border business and management assignments.

Details

Cross Cultural Management: An International Journal, vol. 15 no. 1
Type: Research Article
ISSN: 1352-7606

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Article
Publication date: 4 September 2019

Jen-Shou Yang

The purpose of this paper is to investigate the moderating effects of power distance and collectivistic orientations on the effectiveness of intrinsic, extrinsic and…

Abstract

Purpose

The purpose of this paper is to investigate the moderating effects of power distance and collectivistic orientations on the effectiveness of intrinsic, extrinsic and reciprocal motivators in promoting employees’ willingness to cooperate for organizational interest. An integrated theoretical framework which incorporated cultural influence on need priority and on legitimacy of social exchange was established to develop the hypotheses.

Design/methodology/approach

This study used the methodology of information-integration theory to test the research hypotheses.

Findings

This study found that power distance orientation enhanced the effectiveness of extrinsic motivator but mitigated that of intrinsic motivator, and was irrelevant to that of reciprocal motivator. In contrast, collectivistic orientation mitigated the effectiveness of extrinsic motivator but enhanced that of reciprocal motivator, and was irrelevant to that of intrinsic motivator.

Practical implications

Managers may use reciprocal motivators for employees with high collectivism in order to increase their willingness to cooperate for the interest of the organization. Meanwhile, extrinsic motivators may be utilized for employees with high power distance but may not be as effective for those with low power distance. However, managers should not expect intrinsic motivators to be as attractive to those with high power distance as to those with low power distance.

Originality/value

By integrating multiple cultural orientations and multiple work motivators in one study, this research clarified the differential moderating effects of power distance and collectivistic orientations on the effectiveness of intrinsic, extrinsic and reciprocal motivators in promoting employees’ willingness to cooperate. Potential confounding problems in prior studies derived from the correlation between cultural values and coexistence of multiple motivators were discussed.

Details

Management Decision, vol. 58 no. 4
Type: Research Article
ISSN: 0025-1747

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Article
Publication date: 28 May 2020

Norhayati Zakaria, Wan-Nurisma Ayu Wan-Ismail and Asmat-Nizam Abdul-Talib

The purpose of this research is to understand the importance of value orientation on conspicuous consumption in the youth market segment in Southeast Asia. In particular…

Abstract

Purpose

The purpose of this research is to understand the importance of value orientation on conspicuous consumption in the youth market segment in Southeast Asia. In particular, the focus is to understand three different types of value orientation (specifically cultural values, material values and religious values) and its effects on conspicuous consumption behaviour.

Design/methodology/approach

An integrative theoretical model is proposed based on Hofstede's cultural dimension, the materialism value scale and religious commitments to predict the relationship for the value orientations of Generation Y's (Gen Y's) conspicuous consumption behaviour. The data was collected from undergraduate students enrolled in general education courses in three universities in Malaysia. Using cross-sectional data, 262 sets of valid questionnaires were used to perform the statistical analysis for the measurement and structural model using partial least squares equation modelling (PLS-SEM) path modelling.

Findings

We position our study by raising the pertinent question of “Seriously, Conspicuous Consumption?” to establish a clear understanding of whether Malaysian Gen Y individuals are conspicuous consumers and, if they are, which of the three values matter the most. In order to answer the question of whether Malaysian Gen Y engages in conspicuous consumption, we arrive at an understanding that, given multi-value orientations, conspicuous behaviour can be motivated and impacted by one value orientation and constrained by others. Hence, value orientation offers an insightful explanation of one specific type of consumer behaviour in the context of Asia as an emerging global market. Thus, our study provides two key theoretically significant findings. In general, our findings provide insights into how the multi-value orientations (i.e. cultural, material and religious orientations) contribute to several bodies of literature—namely, conspicuous consumption, international marketing and transcultural marketing. The results revealed that collectivism and materialism were positively and significantly related to conspicuous consumption. Uncertainty avoidance, although significant, had a negative relationship with conspicuous consumption. The other values (masculinity, power distance and religious values) were not significantly related to conspicuous consumption.

Research limitations/implications

Purchasing luxury goods is becoming an emergent phenomenon in Asia, particularly among young consumers. This paper provides marketing managers, particularly brand owners, with practical and realisable examples of how to plan and execute their marketing plans. A more profound understanding of this relationship may also serve to aid marketing managers in devising more focused marketing strategies and thus allocate marketing resources more efficiently. Hence, marketers could develop an effective communication strategy so that the target consumers will be aware of their goods because the purchase of luxury goods is likely to be motivated by social, cultural and personal factors.

Originality/value

This article examines the impact of value orientations on conspicuous consumption behaviour in Malaysian Gen Y consumers. The model proposed in this study is useful in predicting conspicuous consumption among Gen Y. By identifying the factors influencing this emergent type of consumer behaviour, global retailers will be informed about this particular market segmentation in terms of its preferences and desires. The article discusses the research findings and concludes with managerial implications and limitations.

Details

Asia Pacific Journal of Marketing and Logistics, vol. 33 no. 2
Type: Research Article
ISSN: 1355-5855

Keywords

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