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1 – 10 of over 52000Hannu Saarijärvi, Hannu Kuusela, Kari Neilimo and Elina Närvänen
Despite the fact that customer orientation is increasingly used as a strategic guideline to ensure companies’ long-term success, it is too often left at conceptual level without…
Abstract
Purpose
Despite the fact that customer orientation is increasingly used as a strategic guideline to ensure companies’ long-term success, it is too often left at conceptual level without any managerial or executive translation. To address this practical gap, the purpose of the paper is to build an executive perspective on customer orientation through the mechanism of customer value dimensions.
Design/methodology/approach
An intensive case study from a successful retail service business is used to illustrate how customer orientation is applied in actual strategic decision making at the executive level. The case business is a multi-sector service business that took a strategic turn toward customer orientation in the 2000s. As a result, the company has been able to increase their market share to become the market leader as well as stay ahead of the competition and increase customer loyalty.
Findings
The study provides a practical tool of disentangling customer orientation into four customer value dimensions and linking them with appropriate executive level strategic decision making.
Practical implications
The study helps executives uncover the inner meaning of customer orientation, move beyond traditional conceptualization of customer orientation, and adopt customer value orientation. This necessitates not only understanding customer value criteria, but also linking the diverse criteria to executive level strategic decision making.
Originality/value
The study concretizes and uncovers how customer orientation can be implemented by incorporating both economic, functional, emotional, and symbolic customer value dimensions into executive level strategic decision making.
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Scholars and professionals are interested in studying customer value in fast-food restaurants. Previous research on the customer value of fast-food restaurants mainly measured the…
Abstract
Purpose
Scholars and professionals are interested in studying customer value in fast-food restaurants. Previous research on the customer value of fast-food restaurants mainly measured the dimensions and relationships of the customer value. However, the research has not examined a method for identifying sources of customer value in fast-food restaurants. Therefore, this study used customer orientation to find customer needs and generate customer value in fast-food restaurants.
Design/methodology/approach
This study presents a conceptual framework with six constructs. A questionnaire was used to gather empirical data from fast-food restaurant customers in Greater Cairo, Egypt. The suggested framework was evaluated using confirmatory factor analysis, reliability and validity analysis, standardized path coefficients and regression-based moderation analysis.
Findings
This study found that proactive customer orientation has a substantial direct and positive impact on customer perceived value. Customer perceived value is also positively influenced by responsive and proactive customer orientations, with customer desired value change intensity acting as a moderator. Customer perceived value substantially impacts customer satisfaction, and the latter substantially affects behavioural intention.
Practical implications
This study offers several suggestions for managers of fast-food restaurants on how to employ customer orientation to find current, latent and future customer desires to provide customer value.
Originality/value
This is the first research in the hospitality industry to demonstrate how responsive and proactive customer orientation may be used to recognize customer needs and provide the desired customer value.
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Margaret Jekanyika Matanda and Nelson Oly Ndubisi
In the current customer‐centred business environment, organisations are adopting market‐oriented behaviour in an effort to enhance their value creation and delivery capabilities…
Abstract
Purpose
In the current customer‐centred business environment, organisations are adopting market‐oriented behaviour in an effort to enhance their value creation and delivery capabilities. This study seeks to investigate whether supplier market orientation leads to the creation of superior supplier perceived value and organisational performance. It is contended that supplier perceived value creation mediates the relationship between market orientation and business performance.
Design/methodology/approach
A model was developed that places supplier perceived value creation as a mediator of the relationship between market orientation and business performance. The model was tested using structural equation modelling on 244 fresh produce suppliers interviewed in face‐to‐face interviews.
Findings
The results indicate that, whilst customer orientation enhances supplier perceived value creation, competitor orientation and interfunctional coordination were negatively associated with it. Supplier perceived value creation had a mediating effect on the link between market orientation and business performance. Additionally, supplier perceived value creation had a negative effect on financial performance, but was positively related to marketing performance.
Practical implications
The study indicates that not all market orientation components lead to positive effects on business performance. For some organisations market orientation can actually reduce business performance. Thus managers should specifically be careful to implement customer orientation as a way of enhancing business performance as the costs may outweigh the benefits.
Originality/value
Limited work has investigated the role of supplier perceived value creation and research has called for empirical work on mediators of the market orientation‐business performance link. The paper adds to existing knowledge by unveiling how supplier market orientation influences their ability to conceptualise supplier delivered value.
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Shu‐Ching Chen and Pascale G. Quester
This study developed a model of customer store loyalty for retail service based on a value‐based market orientation practice, staff performance and customer satisfaction.
Abstract
Purpose
This study developed a model of customer store loyalty for retail service based on a value‐based market orientation practice, staff performance and customer satisfaction.
Design/methodology/approach
A comprehensive qualitative study was undertaken to develop measurements, derived from both perspectives of firms and consumers. The model was then tested empirically in a retail setting in Taiwan, using a dyadic data collection approach. For each service provider from a random sample of hairdressing salons in Taiwan included in our survey, a matched set of customers provided information concerning their expectation and evaluation of service.
Findings
Our findings provide an insight into the effect of perceived customer value in market orientation practice as well as its impact on customer retention. The model indicates that marketing practitioners should manage customer satisfaction and perceptions of value in their implementation of market orientation as they are directly related to customer store loyalty.
Research limitations/implications
This study involved only one service industry (hairdressing salons) in one country (Taiwan). However the scales and methodology described here could and should be replicated in other settings.
Practical implications
By using our scale and results, service providers may be able to enhance their customers' perception of value and increase their degree of store loyalty.
Originality/value
Despite the importance of customer value for organizations seeking to become market oriented, customer value measures are not included in market orientation scales. This study shows how including customer value into market orientation measurements can assist in enhancing business performance via customer retention.
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Yu Tian, Alexander E. Ellinger and Haozhe Chen
Based on customer value theory, this paper aims to propose and test a conceptual model of the relationship between third‐party logistics (3PL) provider customer orientation and…
Abstract
Purpose
Based on customer value theory, this paper aims to propose and test a conceptual model of the relationship between third‐party logistics (3PL) provider customer orientation and customer firm logistics improvement.
Design/methodology/approach
The 3PL provider customer orientation is conceptualized as a higher, second‐order construct made up of four key logistics‐driven first‐order indicators: service variety, information availability, timeliness, and continuous improvement. A survey‐based approach is utilized to collect data from managers at 124 manufacturing customer firms in the People's Republic of China; structural equation modeling is performed to assess measures and test the hypothesized relationships.
Findings
Chinese 3PL provider customer orientation significantly influences customer firm logistics improvement.
Research limitations/implications
Findings are based on single source perceptual data from customer firm key respondents. Tests indicate that common method bias is not a problem.
Practical implications
At a time when market pressure is compelling Mainland Chinese 3PL providers to upgrade and expand service offerings, 3PLs with a strong customer orientation create significant value for customers through superior execution on key elements of logistics service.
Originality/value
The paper responds to calls for additional theoretically driven assessment of market orientation in logistics service provider firms by identifying explicit behavioral manifestations of 3PL customer orientation that enhance customer firm logistics performance.
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Christina Klearchou Dimitriou and Charles H. Schwepker
Grounded in ethical decision-making theory, this paper aims to develop and empirically tests a model that examines the relationships between ethical leadership, customer…
Abstract
Purpose
Grounded in ethical decision-making theory, this paper aims to develop and empirically tests a model that examines the relationships between ethical leadership, customer orientation, ethical values person-organization fit, commitment to service quality and service sabotage among customer-contact service employees in the lodging industry.
Design/methodology/approach
Data were electronically collected from a national survey of 316 hotel/motel customer-contact employees.
Findings
Results revealed that perceived ethical leadership behavior is positively related to customer orientation, ethical values person-organization fit and commitment to service quality. Customer orientation is positively related to commitment to service quality and mediates the relationship between ethical leadership and service sabotage. Ethical values person-organization fit mediates the relationship between ethical leadership and service sabotage.
Research limitations/implications
The study is cross-sectional, limited to customer-contact employees in lodging settings and examines merely the employee perspective.
Practical implications
Lodging leaders can benefit significantly in many areas by practicing ethical leadership. For example, service sabotage behaviors can be reduced indirectly by aligning the customer-contact employees’ ethical values with those of the organization, as well as when this employee is customer-oriented. An ethical leadership style also can positively influence customer-contact employees’ customer orientation and increase their commitment to service quality. Lodging properties must hire and cultivate managers and supervisors with ethical values.
Originality/value
This research helps to better understand leadership behaviors useful for improving the ethical conduct and performance of customer-contact employees in the lodging industry, while simultaneously improving their commitment to service quality and guest-oriented behavior.
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Andre Beaujanot Q, Larry Lockshin and Pascale Quester
The concept of market orientation has attracted attention from both academics and managers and it has been widely used in the marketing discipline to explain marketing phenomena…
Abstract
The concept of market orientation has attracted attention from both academics and managers and it has been widely used in the marketing discipline to explain marketing phenomena in business and consumer markets (Deshpande, Farley, & Webster, 1993; Jaworski & Kohli, 1993; Kohli & Jaworski, 1990; Steinman, Deshpande, & Farley, 2000). The most common output or effect attributed by the literature to the market orientation concept has been the firm's achievement of good or superior financial performance by delivering superior value to customers (Deshpande et al., 1993; Hunt & Lambe, 2000; Kohli & Jaworski, 1990; Narver & Slater, 1990). The market orientation concept has also generated a stream of research in both domestic and international markets (Breman & Dalgic, 2001; Cadogan & Diamantopoulos, 1995; Cadogan, Diamantopoulos, & de Mortanges, 1999; Dalgic, 1994; Siguaw, Simpson, & Baker, 1998).
Aloisio Henrique Mazzarolo, Emerson Wagner Mainardes and Danilo Soares Montemor
The purpose of this study was to assess whether internal marketing tends to influence the perception of bank employees regarding the strategic orientations of banks toward the…
Abstract
Purpose
The purpose of this study was to assess whether internal marketing tends to influence the perception of bank employees regarding the strategic orientations of banks toward the market, brand and value. The authors also aimed to determine whether employees' organizational commitment mediates the relationship between internal marketing and the three strategic orientations and whether they influence bank employees' perception of obtaining a competitive advantage.
Design/methodology/approach
The authors conducted a survey with 832 bank employees using an online questionnaire. The authors performed data analysis by modeling structural equations with data estimation using the PLS-SEM.
Findings
The results showed that internal marketing positively influences bank employees' perception of banks' strategic marketing orientations and through that their perception of a competitive advantage. The authors also note that organizational commitment can partially mediate the relationship between internal marketing and the strategic orientations tested in this study.
Research limitations/implications
The findings indicate that banks' investment in employee valuation tends to generate positive results in relation to their adherence to marketing strategies, with the potential to result in a competitive advantage.
Originality/value
The results demonstrate the strength of internal marketing in the strategic orientations of banks, indicating that having employees who are committed to their bank contributes to the delivery of a high-quality service focused on the external customers, generating a competitive advantage.
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Weisha Wang, Dongmei Cao and Nisreen Ameen
While customer perceived augmented reality (AR) values have generally enhanced customer experience, AR value would be appreciated the most by a consumer segment that remains…
Abstract
Purpose
While customer perceived augmented reality (AR) values have generally enhanced customer experience, AR value would be appreciated the most by a consumer segment that remains unexplored. Drawing from human value orientation theory and consumption value theory, this research proposes a new model analysing the effects of human value orientation (openness to change, conservation, self-transcendence, and self-enhancement) on perceived AR values (playful, social, visual appeal, usability) and subsequently the effects on customer satisfaction.
Design/methodology/approach
:The authors employed a two-step online data collection. The first step was to identify those who had used retailers' AR applications, who were then invited to participate in the full survey in the second step. A sample of 253 AR technology users' data was analysed using partial least square and structural equation modelling.
Findings
The results reveal that each human value orientation is associated with its unique perceived AR values and that various perceived AR values influence customer satisfaction differently.
Originality/value
This study shows the pivotal role human value orientation plays in influencing customer perceived AR values and their impacts on customer satisfaction. The findings offer key implications for digital marketing segmentation.
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Hanny N. Nasution and Felix T. Mavondo
The paper aims to investigate the cultural and implementation organisational capabilities that contribute to provision of superior customer values through operationalising customer…
Abstract
Purpose
The paper aims to investigate the cultural and implementation organisational capabilities that contribute to provision of superior customer values through operationalising customer value from both the business and customer perspectives.
Design/methodology/approach
Two samples were developed: one for hotel managers (n=231) and the other for hotel guests (n=385). Data for the organisational capabilities were collected from managers; data for customer value were collected from both managers and customers. Two models were tested with respect to the relationship between cultural capabilities and implementation on customer value.
Findings
The results indicate that, among the cultural variables, integrated market orientation and intrapreneurship are significantly and positively related to customer value. The implementation capabilities, human resources practices and innovation are significantly related to customer value as seen by managers, but none of these was significant when regressed on customer value as experienced by customers.
Research limitations/implications
A test of measure equivalence would be desirable to establish whether customers and managers in responding to questions on customer value use the scales equivalently.
Practical implications
The study suggests that managers should adopt the customer's perspective as a useful guide to resource deployment and a potential source of sustainable competitive advantage. This enables organisations to invest in capabilities valued by customers.
Originality/value
The value of the paper lies in obtaining data for all the independent variables from managers, and data for the dependent variable, i.e. customer value, from both managers and customers, hence limiting common method bias.
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