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Open Access
Article
Publication date: 6 April 2023

Kwabena Abrokwah-Larbi

The purpose of this paper is to investigate the impact of customer-focus on small medium enterprise (SME) performance from the perspective of a resource-based view (RBV).

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Abstract

Purpose

The purpose of this paper is to investigate the impact of customer-focus on small medium enterprise (SME) performance from the perspective of a resource-based view (RBV).

Design/methodology/approach

This research study implemented a survey strategy to gather data from 255 respondents on the registered list of Ghana Enterprise Agency (GEA) in the eastern region of Ghana. Scales used to gather data were operationalized from previous research studies. A structural equation modeling (SEM) path analysis was used to estimate the impact of customer-focus on the performance of SMEs.

Findings

The outcomes of this study indicate that customer-focus has a significant positive impact on SME performance, hence backing the current demand for investigating the distinct influence of customer-focus on SME performance. The results show that customer-focus has a positive and significant relationship with financial performance, customer performance, internal business process performance and learning and growth performance, thus supporting the literature on the positive impact of customer-focus on SME performance. Therefore, customer-focus determinants used in this study, including co-creation, networking ties, customer insight and artificial intelligence marketing (AIM), are critical to the optimization of SME performance.

Research limitations/implications

Notwithstanding the importance of this research study mentioned earlier, the study has limitations. Notably, the sample size of this study can be increased to capture SME respondents in other geographical zones that were not included in this study. Future research studies may address how business environment conditions moderate the relationship between customer focus and performance, and also the cause-effect of the relationship between customer focus and business environment conditions on SME performance.

Practical implications

The practical implications consist of two main items. First, this study empowers SME owners and managers to develop a customer focus technique as a central strategic goal in their quest for SME performance optimization. Second, SME owners and managers should progressively exploit the four determinants of customer focus which include co-creation, networking ties, customer insight and (AIM in order to accrue important resources for effective utilization of their customer focus competences as a way to enhance their performance.

Social implications

This study is targeted at the sound development of SMEs to bring about poverty alleviation and employment. Poverty, unemployment and poor living standards are recognized as vital social challenges in most emerging economies. The establishment of customer focus as an important strategic capability provides opportunities for SME survival, profitability and growth.

Originality/value

Generally, the findings of this research study provide a strong backing to RBV perspective and the proposition that customer-focus and its determinants (i.e. co-creation, networking ties, customer insight and AIM) should be acknowledged as a vital strategic resource for optimizing the performance of SMEs. This research study also provides new knowledge contribution to the present body of knowledge on customer-focus orientation and management literature, particularly in the context of an emerging economy.

Details

African Journal of Economic and Management Studies, vol. 15 no. 1
Type: Research Article
ISSN: 2040-0705

Keywords

Article
Publication date: 14 December 2021

Jiajun Wu, Matthew O'Hern and Jun Ye

This study examines the influence of different user innovator mindsets on new product development (NPD) performance. The current research explores the relative impact of a…

Abstract

Purpose

This study examines the influence of different user innovator mindsets on new product development (NPD) performance. The current research explores the relative impact of a product-focused user innovator mindset vs a customer-focused mindset on feedback volume and feedback diversity and investigates the effect of each type of feedback on product improvement and product diffusion.

Design/methodology/approach

This study examines these relationships using two distinct types of data. Data on user innovator mindset, feedback characteristics and user innovator improvisation were obtained via an online survey. Archival data on NPD performance measures were acquired directly from an online research database, and results were obtained using confirmatory factor analysis.

Findings

The authors find that while neither type of user innovator mindset directly influences NPD performance, user innovators, who are highly customer-focused, have a significant advantage in sourcing knowledge from users in the form of a higher volume of feedback and more diverse feedback. In turn, feedback volume appears to positively influence product improvement, while feedback diversity positively influences product diffusion. Finally, the effect of both types of feedback on product improvement is enhanced for user innovators who are highly improvisational.

Originality/value

This research highlights the important role that customer focus plays in directly obtaining knowledge from customers (i.e. customer feedback) and the effects of that feedback on NPD performance. This study provides evidence that a user innovator's interest in accurately understanding the needs of their peers improves their access to external knowledge and enhances their innovation efforts.

Details

European Journal of Innovation Management, vol. 26 no. 4
Type: Research Article
ISSN: 1460-1060

Keywords

Article
Publication date: 2 January 2024

Xinxue Zhou, Jian Tang and Tianmei Wang

Customers' co-design behavior is an important source of knowledge for product innovation. Firms can regulate the focus of information interaction with customers to set goals and…

Abstract

Purpose

Customers' co-design behavior is an important source of knowledge for product innovation. Firms can regulate the focus of information interaction with customers to set goals and motivate their co-design behavior. Drawing on regulatory fit theory and construal level theory, the authors build a research model to study whether the fit between the regulatory focus of firms' task invitations (promotion focus vs prevention focus) and their feedback focus (self-focused vs other-focused) can enhance co-design behavior by improving customers' experiences (perceived meaning, active discovery and perceived empowerment).

Design/methodology/approach

The authors conducted two online between-subjects experiments to validate the proposed research model.

Findings

The two online experiments reveal that customers' experiences are enhanced when the feedback focus is congruent with the regulatory focus of the firm's task invitations. Specifically, self-focused feedback has a stronger positive effect on customers' experiences in the prevention focus context. Other-focused feedback has a stronger positive effect on customers' experiences in the promotion focus context. Moreover, customers' experience significantly and positively affects co-design behavior (i.e. co-design effort and knowledge contribution).

Originality/value

This work provides theoretical and practical implications for firms to improve the effectiveness of information interaction with their customers and eventually ensure the sustainability of co-design.

Details

Internet Research, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1066-2243

Keywords

Article
Publication date: 20 September 2023

Marta Giovannetti, Arun Sharma, Deva Rangarajan, Silvio Cardinali and Elena Cedrola

The COVID-19 pandemic has led to major sales strategy and process changes as many interactions migrated from face-to-face to virtual environments. The nature of the interactions…

Abstract

Purpose

The COVID-19 pandemic has led to major sales strategy and process changes as many interactions migrated from face-to-face to virtual environments. The nature of the interactions changed, and sales firms, the sales function and salespeople created new processes to excel in virtual environments. As sales processes evolve further, this paper aims to focus on understanding the enduring shifts in sales strategy and processes. In addition, this study seeks to understand the characteristics of enduring shifts and how they are distinct from temporary shifts.

Design/methodology/approach

This qualitative analysis provides a comprehensive overview of the sales organizations and salespeople over the period from the start of the pandemic to early 2022. The authors interviewed 66 sales professionals from different countries and industries to better understand the temporary and enduring shifts in sales strategy and processes, adopting ad inductive and narrative approach.

Findings

There are four major findings. First, four key themes emerged: increased digitalization, resistance to digitalization, sales process changes and sales organization transformation. Second, changes are classified as temporary, permanent and accelerated changes. Third, some proposed changes were not supported. Finally, five findings were found that were not discussed in previous literature.

Originality/value

This paper finds distinctive findings that offer additional valuable insights that connect to and extend existing literature. These include emerging themes, classification shifts, unsupported proposed changes and unique findings.

Details

Journal of Business & Industrial Marketing, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0885-8624

Keywords

Open Access
Article
Publication date: 10 August 2022

Kari Lepistö, Minna Saunila and Juhani Ukko

This study investigates the effect of total quality management (TQM) on customer satisfaction, personnel satisfaction and company reputation.

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Abstract

Purpose

This study investigates the effect of total quality management (TQM) on customer satisfaction, personnel satisfaction and company reputation.

Design/methodology/approach

The study results rely on a structured survey conducted among an extensive sample of Finnish SMEs. In addition to the examination of the relationship between TQM and company performance in terms of customer satisfaction, personnel satisfaction and company reputation, the study takes a view on the possible effects of the industry, the company size and the certified quality system.

Findings

The results reveal that two TQM dimensions, namely Customer Focus and Product Management, were related to companies' customer satisfaction, whereas four TQM dimensions, namely Management/leadership, Customer Focus, Personnel Management and Risk Management, were related to personnel satisfaction. None of the TQM dimensions were related to company reputation. The control variables – the industry, the company size and the certified quality system – were not found to affect customer satisfaction, personnel satisfaction or company reputation.

Originality/value

Most previous studies have been based on traditional TQM classification and have not shown the effects of the latest TQM-related dimensions. Compared to previous studies, this work integrates risk management, digitization, system deployment efficiency and stakeholder management into TQM, which has not been implemented in any previous study. The roles of hard and soft TQM factors have been carefully considered in this study; thus, the study does not place too much emphasis on either direction but provides a balanced picture of the performance of the management systems studied. Although there are studies on the effects of TQM on personnel satisfaction, customer satisfaction and reputation, they are based on a much narrower definition of TQM than that in this study. The business environment is constantly changing, but only a few studies have been conducted to extend the TQM approach. This has led to duplication of studies, and the effects of performance-relevant procedures have not been extensively studied in the past as part of TQM. Therefore, the concept of this study brings significant added value to TQM research and returns the TQM concept to the overall level while considering the requirements of the ISO 9001: 2015 and EFQM 2019 quality standards. The study also considers the effects of ISO 9001 certification and EFQM requirements.

Details

Benchmarking: An International Journal, vol. 31 no. 1
Type: Research Article
ISSN: 1463-5771

Keywords

Open Access
Article
Publication date: 10 January 2023

Ryuta Ishii and Mai Kikumori

The purpose of this study is to review and analyze the status of word-of-mouth (WOM) research in the business-to-business (B2B) context and discuss and identify new possible…

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Abstract

Purpose

The purpose of this study is to review and analyze the status of word-of-mouth (WOM) research in the business-to-business (B2B) context and discuss and identify new possible future directions.

Design/methodology/approach

A systematic review was conducted and 36 articles on B2B WOM were collected to evaluate the current state of the literature and clarify possible future research directions.

Findings

This thematic analysis categorize these articles into three themes: WOM generation, WOM usage and reference marketing. Under each theme, the authors reveal research findings unique to B2B research and different from business-to-consumer (B2C) WOM research. This study identifies several research questions that should be addressed by future research.

Originality/value

Both academic researchers and business practitioners recognize that WOM plays an essential role in B2B marketing. However, no review paper focuses on WOM in the B2B context. Findings in the B2C WOM literature suggest that WOM substantially influences firms’ performance, but that managers cannot simply attempt to extrapolate B2C findings to the B2B arena. By synthesizing and assessing prior research on WOM in the B2B context, this study contributes to a better understanding of the B2B WOM phenomenon and facilitates future research on this topic.

Details

Journal of Business & Industrial Marketing, vol. 38 no. 13
Type: Research Article
ISSN: 0885-8624

Keywords

Article
Publication date: 8 January 2024

David E. Bowen

This article overviews some key contributions to service research from the organizational behavior/human resource management (OB/HRM) discipline with its strong focus on the role…

Abstract

Purpose

This article overviews some key contributions to service research from the organizational behavior/human resource management (OB/HRM) discipline with its strong focus on the role of employees. This focus complements the Marketing discipline’s heavy emphasis on customers, largely true of service research, overall.

Design/methodology/approach

Ten OB/HRM frameworks/perspectives are applied to analyzing the roles of people (with a focus on employees and modest consideration of customers as “partial” employees who co-create value) in a service organization context. Also, commentary is offered on how the frameworks relate to six key themes in contemporary service research and/or practice. The article concludes with five reflections on the role and status of employees in service research—past, present and future.

Findings

Employee roles in evolving service contexts; participation role readiness of both employees and customers; role stress in participating customers; an employee “empowered state of mind”; an emphasis on internal service quality; “strong” HRM systems link individual HRM practices to firm performance; service-profit chain with links to well-being of employees and customers; a sociotechnical system theory lens on organizational frontlines (OF); service climate as an exemplar of interdisciplinary research; emotional labor in both employees and customers; the Human Experience (HX); specification of employee experience (EX).

Originality/value

Service remains very much about people who still guide organizational design, develop service strategy, place new service technologies and even still serve customers. Also, a people and organization-based competitive advantage is tough to copy, thus possessing sustainability, unlike with imitable technology.

Details

Journal of Service Management, vol. 35 no. 1
Type: Research Article
ISSN: 1757-5818

Keywords

Article
Publication date: 24 January 2023

Dawn Holmes, Judith Zolkiewski and Jamie Burton

Despite data being a hot topic, little is known about how data can be successfully used in interactions in business-to-business relationships, specifically in the boundary…

Abstract

Purpose

Despite data being a hot topic, little is known about how data can be successfully used in interactions in business-to-business relationships, specifically in the boundary spanning contexts of firms working together to use data and create value. Hence, this study aims to investigate the boundary spanning context of data-driven customer value projects to understand the outcomes of such activities, including the types of value created, how resulting value is shared between the interacting firms, the types of capabilities required for firms to deliver value from data and in what contexts different outcomes are created and different capabilities required.

Design/methodology/approach

Three abductive case studies were undertaken with firms from different business-to-business domains. Data were coded in NVivo and interpreted using template analysis and cross-case comparison. Findings were sense checked with the case study companies and other practitioners for accuracy, relevance and resonance.

Findings

The findings expand our understanding of firm interactions when extracting value from data, and this study presents 15 outcomes of value created by the firms in the study. This study illustrates the complexity and intertwined nature of the process of value creation, which emphasises the need to understand distinct types of outcomes of value creation and how they benefit the firms involved. This study goes beyond this by categorising these outcomes as unilateral (one actor benefits), developmental (one actor benefits from the other) or bilateral (both actors benefit).

Research limitations/implications

This research is exploratory in nature. This study provides a basis for further exploration of how firm interactions surrounding the implementation of data-driven customer value projects can benefit the firms involved and offers some transferable knowledge which is of particular relevance to practitioners.

Practical implications

This research contributes to the understanding of data-driven customer-focused projects and offers some practical management tools. The identification of outcomes helps define project goals and helps connect these goals to strategy. The organisation of outcomes into themes and contexts helps managers allocate appropriate human resources to oversee projects, mitigating the impacts of a current lack of talent in this area. Additionally, using the findings of this research, firms can develop specific capabilities to exploit the project outcomes and the opportunities such projects provide. The findings can also be used to enhance relationships between firms and their customers, providing customer value.

Originality/value

This work builds on research that explores the creation of value from data and how value is created in boundary spanning contexts. This study expands existing work by providing greater insight into the mechanics and outcomes of value creation and by providing specific examples of value created. This study also offers some recommendations of capability requirements for firms undertaking such work.

Details

Journal of Business & Industrial Marketing, vol. 38 no. 6
Type: Research Article
ISSN: 0885-8624

Keywords

Article
Publication date: 27 September 2022

Innocent Senyo Kwasi Acquah, Judith Quaicoe and Michael Arhin

Consumer expectations of quality have grown in recent years, forcing organisations, both service and manufacturing, to adopt total quality management (TQM) principles to satisfy…

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Abstract

Purpose

Consumer expectations of quality have grown in recent years, forcing organisations, both service and manufacturing, to adopt total quality management (TQM) principles to satisfy customer demands efficiently. However, previous studies on the performance impacts of total quality management practices have mainly focused on the financial performance of firms in the manufacturing sector. This study focusses on the research questions: (1) What is the effect of TQM practices on operational performance? and (2) How do TQM practices combine to influence the operational performance of healthcare facilities?

Design/methodology/approach

Using a sample of 154 health facilities (i.e. private hospitals, pharmacies, maternity clinics, and diagnostic centres), the authors applied symmetric (PLS-SEM) and asymmetric (fsQCA) data analysis approaches to examine how TQM practices influence the operational performance of health facilities in the Ashanti Region of Ghana.

Findings

The PLS-SEM results revealed that five out of the seven TQM practices investigated influenced operational performance. However, the fsQCA results identify five different complex combinations of TQM practices that lead to operational performance.

Research limitations/implications

Longitudinal studies can be conducted in the future to assess changes in the variables over time. A control variable, such as firm size, should be considered to assess the level of implementation of TQM practices based on firm size. A different performance measure, for instance, sustainability indicators or the balance score card, could be used to examine performance.

Practical implications

A proper and coordinated integration of the TQM practices is required for firms to be able to achieve operational performance. TQM practices vary in their sufficiency for operational outcomes; therefore, management needs to carefully consider their implementation as part of the organisation's strategy.

Originality/value

This research, by focussing on TQM practices from both symmetrical and asymmetrical perspectives, contributes to the understanding of the literature on TQM, thereby providing actionable insight on how to invest in the various TQM practices for improved operational performance.

Article
Publication date: 6 February 2024

Jagdish N. Sheth, Varsha Jain and Anupama Ambika

This study aims to develop an empathetic and user-centric customer support service design model. Though service design has been a critical research focus for several decades, few…

Abstract

Purpose

This study aims to develop an empathetic and user-centric customer support service design model. Though service design has been a critical research focus for several decades, few studies focus on customer support services. As customer support gains importance as a source of competitive advantage in the present era, this paper aims to contribute to industry and academia by exploring the service design model.

Design/methodology/approach

The study adopted a theories-in-use approach to elucidate mental models based on the industry’s best practices. In-depth interviews with 62 professionals led to critical insights into customer service design development, supported by service-dominant logic and theory of mind principles.

Findings

The ensuing insights led to a model that connects the antecedents and outcomes of empathetic and user-centric customer service design. The precursors include people, processes and technology, while the results are user experience, service trust and service advocacy. The model also emphasises the significance of the user’s journey and the user service review in the overall service design.

Research limitations/implications

The model developed through this study addresses the critical gap concerning the lack of service design research in customer support services. The key insights from this study contribute to the ongoing research endeavours towards transitioning customer support services from an operational unit to a strategic value-creating function. Future scholars may investigate the applicability of the empathetic user service design across cultures and industries. The new model must be customised using real-time data and analytics across user journey stages.

Practical implications

The empathetic and user-centric design can elevate the customer service function as a significant contributor to the overall customer experience, loyalty and positive word of mouth. Practitioners can adopt the new model to provide superior customer service experiences. This original research was developed through crucial insights from interviews with senior industry professionals.

Originality/value

This research is the original work developed through the key insights from the interview with senior industry professionals.

Details

European Journal of Marketing, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0309-0566

Keywords

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