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1 – 10 of over 126000
Article
Publication date: 13 March 2024

Carla Ramos, Adriana Bruscato Bortoluzzo and Danny P. Claro

This study aims to capture how the association between a multichannel relational communication strategy (MRCS) and customer performance is contingent upon such customer performance

Abstract

Purpose

This study aims to capture how the association between a multichannel relational communication strategy (MRCS) and customer performance is contingent upon such customer performance (low- versus high-performance customers) and to reconcile past contradictory results in this marketing-related topic. To this end, the authors propose and validate the method of quantile regression as an unconventional, yet effective, means to proceed to that reconciliation.

Design/methodology/approach

This study collected data from 4,934 customers of a private pension fund firm and accounted for both firm- and customer-initiated relational communication channels (RCCs) and for customer lifetime value (CLV). This study estimated a generalized linear model and then a quantile regression model was used to account for customer performance heterogeneity.

Findings

This study finds that specific RCCs present different levels of association with performance for low- versus high-performance customers, where outcome customer performance is the dependent variable. For example, the relation between firm-initiated communication (FIC) and performance is stronger for low-CLV customers, whereas the relation between customer-initiated communication (CIC) and performance is increasingly stronger for high-CLV customers but not for low-CLV ones. This study also finds that combining different forms of FIC can result in a negative association with customer performance, especially for low-CLV customers.

Research limitations/implications

The authors tested the conceptual model in one single firm in the specific context of financial services and with cross-sectional data, so there should be caution when extrapolating this study’s findings.

Practical implications

This study offers nuanced and precise managerial insights on recommended resource allocation along with relational communication efforts, showing how managers can benefit from adopting a differentiated-customer performance approach when designing their MRCS.

Originality/value

This study provides an overview of the state of the art of MRCS, proposes a contingency analysis of the relationship between MRCS and performance based on customer performance heterogeneity and suggests the quantile method to perform such analysis and help reconcile past contradictory findings. This study shows how the association between RCCs and CLV varies across the conditional quantiles of the distribution of customer performance. This study also addresses a recent call for a more holistic perspective on the relationships between independent and dependent variables.

Book part
Publication date: 15 August 2019

Gábor Nagy, Carol M. Megehee and Arch G. Woodside

Firm’s operating contexts and asymmetric perspectives of success versus failure outcomes are two essential features typically absent in research on firms’ implemented strategies…

Abstract

Firm’s operating contexts and asymmetric perspectives of success versus failure outcomes are two essential features typically absent in research on firms’ implemented strategies. The study here describes and provides examples of formal case-based models (i.e., constructing algorithms) of firms implemented strategies within several of 81 potential context (task environments) configurations – large vs small, service vs production orientation, low vs high competitive intensity, low vs high technological turbulence, and ambiguous settings for each. The study applies the tenets of complexity theory (e.g., equifinality, causal asymmetry, and single causal insufficiency). The study proposes a meso-theory and empirical testing position for solving “the crucial problem in strategic management” (Powell, Lovallo, & Fox, 2011, p. 1370) – firm heterogeneity – why firms adopt different strategies and structures, why heterogeneity persists, and why competitors perform differently. A workable solution is to identify/describe implemented executive capability strategies that identify firms in alternative specific task environments which are consistently accurate in predicting success (or failure) of all firms for specific implemented capabilities/context configuration. The study shows how researchers can perform “statistical sameness testing” and avoid the telling weaknesses and “corrupt practices” of symmetric tests such as multiple regression analysis (Hubbard, 2015) including null hypothesis significance testing. The study includes testing the research issues using survey responses of 405 CEO and chief marketing officers in 405 Hungarian firms. The study describes algorithms indicating success cases (firms) as well as failure cases via deductive, inductive, and abductive fuzzy-set logic of capabilities in context solutions.

Details

New Insights on Trust in Business-to-Business Relationships
Type: Book
ISBN: 978-1-83867-063-4

Keywords

Book part
Publication date: 17 January 2023

Helen M. Dah, Robert J. Blomme, Arie Kil and Ben Q. Honyenuga

This chapter investigates the effect of customer orientation and CRM organization on hotel financial performance. A model of enhancing hotel financial performance through customer

Abstract

This chapter investigates the effect of customer orientation and CRM organization on hotel financial performance. A model of enhancing hotel financial performance through customer satisfaction practices was tested. Customer satisfaction was hypothesized to be a mediator in the relationships between customer orientation and CRM organization and the result being financial performance. The sample consisted of 54 hotels that was made up of three 5-star, fifteen 4-star, and thirty-six 3-star hotels in Ghana. A quantitative deductive approach was employed to gather data using cross-sectional survey, which was analyzed using PLS-SEM to check the validity, reliability and factor loading of the data. The findings revealed that, CRM organization enhances customer satisfaction and financial performance of hotels. Also, customer orientation showed significant positively related to customer satisfaction in the hotels. Surprisingly, the effects of CRM organization and customer orientation on financial performance through customer satisfaction were insignificant. Thus, customer satisfaction failed to mediate the effect of CRM organization and customer orientation on the financial performance of hotels. This suggests that though an effective CRM organization enhances customer satisfaction, it directly affects the financial performance of hotels. The outcomes have useful implications for CRM implementation on hotel financial performance in Ghana.

Details

Advances in Hospitality and Leisure
Type: Book
ISBN: 978-1-80382-816-9

Keywords

Article
Publication date: 17 April 2009

Shaohan Cai

The main objective of this paper is to empirically investigate the linkage among organizational customer orientation, customer relationship practices, and organizational outcomes.

4166

Abstract

Purpose

The main objective of this paper is to empirically investigate the linkage among organizational customer orientation, customer relationship practices, and organizational outcomes.

Design/methodology/approach

The sampling frame of the study consists of 143,000 Chinese companies, each with revenue of more than 5 million RMB (Chinese currency). The target companies were randomly selected from 29 Chinese provinces using the stratified probability proportional to sizes (PPS) method. Structure equation modelling was utilized to analyze data.

Findings

It is found that organizational customer orientation affects customer relationship practices, which subsequently influence production performance and customer satisfaction. Production performance and customer satisfaction lead to financial performance.

Research limitations/implications

The study has some limitations that provide directions for future research. Data were only collected from China. Therefore, the research findings might reflect unique aspects of Chinese companies. Caution should be exercised when generalizing these research findings to other nations. The study also focused only on manufacturing firms' customer focus practices.

Practical implications

Companies need to promote customer orientation in their organization, in order to successfully implement customer relationship practices. Only when they effectively utilize the knowledge that they collect to improve production performance can they enhance customer satisfaction and their financial outcomes.

Originality/value

The paper maintains that customer focus practices should consist of two elements: organizational customer orientation and customer relationship practices. This offers new directions to researchers and practitioners for improving customer focus practices.

Details

International Journal of Quality & Reliability Management, vol. 26 no. 4
Type: Research Article
ISSN: 0265-671X

Keywords

Article
Publication date: 28 February 2023

Kwabena Abrokwah-Larbi and Yaw Awuku-Larbi

This study aims to empirically investigate the relationship between artificial intelligence (AI) in marketing (AIM) and business performance from the resource-based view (RBV…

2323

Abstract

Purpose

This study aims to empirically investigate the relationship between artificial intelligence (AI) in marketing (AIM) and business performance from the resource-based view (RBV) perspective.

Design/methodology/approach

A survey strategy was used in this study to collect data from 225 small and medium enterprises (SMEs) respondents who were on the registered list of the Ghana Enterprise Agency in the Eastern Region of Ghana. Structural equation modeling – path analysis was used to estimate the impact of AIM on the performance of SMEs.

Findings

The analyzed data shows that AIM has significant impact on the financial performance, customer performance, internal business process performance and learning and growth performance in the case of SMEs in Ghana. This study establishes the significance of AIM approach in achieving financial performance, customer performance, internal business process performance and learning and growth performance through the application of AIM determinants including, Internet of Things (IoT), collaborative decision-making systems (CDMS), virtual and augmented reality (VAR) and personalization.

Research limitations/implications

Aside the aforementioned significance of this research study, this study has limitations. The sample size of this research study can be expanded to include SME respondents in other geographical areas that were not considered in this study. Future research studies should concentrate on how AIM can analyze customer communications and information such as posts on social media to develop future communications that may enhance customer engagement.

Practical implications

The practical implications comprise of two key items. First, this research study encourages SME owners and managers to develop an AIM method as a fundamental strategic goal in their pursuit to improve SME performance. Second, SME owners and managers should increasingly implement the four determinants of AIM indicated in this research study (i.e., IOT, CDMS, VAR and personalization) to develop essential resources for effective application of AIM to improve their performance.

Originality/value

The results of this study provide a strong support to RBV theory and the proposition that AIM and its determinants (i.e., IOT, CDMS, VAR and personalization) should be recognized as an essential strategic resource for improving the performance (i.e., financial performance, customer performance, internal business process performance and learning and growth performance) of SMEs. This study also contributes to the current body of knowledge on AIM and management, particularly in the context of an emerging economy.

Details

Journal of Entrepreneurship in Emerging Economies, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2053-4604

Keywords

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).

4859

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: 31 May 2022

Ismail Juma Ismail

This paper examined mediating effect of customer loyalty on the influence of customer orientation and technology orientation on the performance of small and medium-sized…

1609

Abstract

Purpose

This paper examined mediating effect of customer loyalty on the influence of customer orientation and technology orientation on the performance of small and medium-sized enterprises (SMEs).

Design/methodology/approach

This study adopted and modified items from previous studies. Also, data were analyzed using structural equation modeling (SEM). Additionally, a PROCESS Macro mediation test was used.

Findings

The study's findings indicated that customer orientation and technology orientation positively and significantly affect customer loyalty. Moreover, the findings indicated that customer loyalty has a positive and significant effect on the performance of SMEs. Finally, customer loyalty was found to mediate the influence of customer orientation and technology orientation on the performance of SMEs.

Practical implications

The study recommends on business performance improvement through enhancing customer and technology orientations and customer loyalty. So, SMEs should make sure their internal environment is conducive to accommodate customer and technology orientations, which will help them come up with effective ways to get loyal customers and improve their business.

Originality/value

The study adds value to the existing literature by introducing customer loyalty as an intervening variable between the effect of customer orientation and technology orientation on business performance of SMEs.

Details

Technological Sustainability, vol. 2 no. 1
Type: Research Article
ISSN: 2754-1312

Keywords

Article
Publication date: 18 June 2019

Hariyati Hariyati, Bambang Tjahjadi and Noorlailie Soewarno

The purpose of this paper is to examine the mediating effect of intellectual capital (IC), management accounting information systems, internal process performance and customer

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Abstract

Purpose

The purpose of this paper is to examine the mediating effect of intellectual capital (IC), management accounting information systems, internal process performance and customer performance (CP) on the relationship of strategies with financial performance (FP).

Design/methodology/approach

The population in this research was medium and large manufacturing company business units in Java. The business unit as the unit of analysis in this research is part of the organization that: is responsible for the production and marketing of a product or set of products; is formed by product type; has its own competitors which are different from competitors of other business units or divisions within a parent company; and has a manager who is responsible and has authority over the planning and implementation of strategies to achieve the specified profit target.

Findings

An innovation strategy that includes product innovation, process innovation and technology has an impact on FP if there is a good internal process performance, reliable management accounting information system and good CP. The internal process performance, which includes operations management processes, customer management processes, innovation processes and regulatory and social processes, optimizes the relationship of the strategy with FP. In this study, IC does not affect CP and internal process performance, nor does the management accounting information system affect FP. However, information systems affect FP through internal process performance and CP.

Originality/value

The originalities of this study are: the use of the continuous innovation strategy in an integrated manner between product innovation and process and information technology – this has never been conducted by other researchers, especially in Indonesia; the use of IC, management accounting information systems, internal process performance and CP as mediating variables; the use of an integrative approach by including variables of IC, management accounting information systems and non-FP as contextual variables related to contingency approaches that have never been conducted in previous research; the modeling of new related concepts with the one developed in the balanced scorecard; and using single mediating and multiple mediating on the influence of sustainable innovation strategies on FP.

Details

International Journal of Productivity and Performance Management, vol. 68 no. 7
Type: Research Article
ISSN: 1741-0401

Keywords

Article
Publication date: 10 October 2008

Robert C. Fink, William L. James, Kenneth J. Hatten and Lynn Bakstran

The purpose of this research is to understand factors related to increased customer purchases from suppliers during different stages of the customer‐supplier relationship.

2175

Abstract

Purpose

The purpose of this research is to understand factors related to increased customer purchases from suppliers during different stages of the customer‐supplier relationship.

Design/methodology/approach

A survey of 372 professionals in the paper industry was conducted to investigate how customer performance outcomes, supplier quality and delivery performance, the presence of relational norms and customer perspectives of environmental uncertainty vary in their influence on increasing customer purchases over time.

Findings

The results indicate the variables influencing increased customer purchases vary over the duration of the customer‐supplier relationship. It is also shown how the variables influencing increased customer purchases from suppliers are different from the variables leading to increased customer commitment to suppliers over time.

Research limitations/implications

Data were collected from the customer perspective only and involved the exchange of one type of product. Similar studies need to be conducted in other industries involving other types of product exchanges that capture both customer and supplier perspectives to verify these findings.

Practical implications

Supplier sales and marketing managers need to understand the factors related to increased customer purchases and how they change over time to create appropriate sales and marketing strategies for different stages of their customer relationships.

Originality/value

One of the most important sales and marketing objectives is to increase customer purchases; however, it has received limited attention in prior research. This paper adds value by focusing on both the variables related to increased customer purchases and how these factors change in their influence over the duration of the customer‐supplier relationship.

Details

Journal of Business & Industrial Marketing, vol. 23 no. 8
Type: Research Article
ISSN: 0885-8624

Keywords

Article
Publication date: 4 February 2014

Shyh-Rong Fang, Enchi Chang, Chueh-Chu Ou and Chia-Hui Chou

The purposes of this paper are to examine whether internal market orientation facilitates the development of external market capabilities, before influencing organizational…

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Abstract

Purpose

The purposes of this paper are to examine whether internal market orientation facilitates the development of external market capabilities, before influencing organizational performance, and to investigate whether learning orientation strengthens the aforementioned link.

Design/methodology/approach

This study collected data through a survey and utilized moderated hierarchical regression analysis to examine the hypothesized relationships.

Findings

Internal market orientation facilitates the development of both market capabilities and in turn enhances organizational performance. The result also shows that customer-linking capability is a stronger mediator between internal market orientation and organizational performance. Besides, learning orientation does not moderate the relationship between internal market orientation and external market capabilities.

Research limitations/implications

This study only examines two market capabilities; considers only internal market orientation and does not include other antecedents; and used cross-sectional data, instead of longitudinal data, which consist of information only from 159 services companies in Taiwan.

Practical implications

A company should have international market orientation mechanisms, such as internal market information system and reward systems to keep the internal communications open. For companies stressing external customer relationship, internal marketing is important.

Originality/value

This study provides empirical evidence for the claim that internal marketing influences the formation of an organization's external market capabilities. It also considers two types of market capabilities instead of treating market capabilities as a holistic variable. This study also clarifies learning orientation's relationships with internal market orientation and market capabilities.

Details

European Journal of Marketing, vol. 48 no. 1/2
Type: Research Article
ISSN: 0309-0566

Keywords

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