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1 – 10 of over 1000Mohammadbagher Gorji, Sahar Siami, Louise Grimmer and Martin Grimmer
The purpose of the current paper is to examine the relationship between storescape (retail's physical and social environment factors) and customer loyalty (CL) and how…
Abstract
Purpose
The purpose of the current paper is to examine the relationship between storescape (retail's physical and social environment factors) and customer loyalty (CL) and how employee citizenship behaviour towards customer (ECB-C) facilitates this relationship.
Design/methodology/approach
This study used a descriptive quantitative, non-experimental research method using a cross-sectional design with a self-administered questionnaire. In total, 415 department store customers in Australia responded to the survey through an online panel provider.
Findings
Results confirmed the significance of all relationships between physical and social storescape factors, customer satisfaction (CS) and loyalty, except the direct effect of physical factors on CL. The findings also highlighted the interaction effect of ECB-C in the relationship between storescape factors, satisfaction and CL, indicating that these effects are stronger at higher levels of ECB-C than lower levels.
Practical implications
The study provides insights for department store retailers, practitioners and marketing managers into the role of ECB-C in forming and shaping CS and loyalty, especially when there is a lack of storescape effect on CS and loyalty.
Originality/value
This study extends the consecutive relationship of the stimulus–organism–response (SOR) model by adding ECB-C as a moderator. The study employed resource exchange (RE) theory to investigate the direct effect of storescape on CL beyond its indirect effect through organism suggested by the SOR model.
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Far from being nonplussed by Germany’s Constitutional Court ruling of May 5 that the ECB’s Public Sector Purchase Programme (PSPP) may be illegal, it doubled the programme…
This paper investigates the European Central Bank’s (ECB) monetary policies. It identifies an anti-growth bias in the ECB’s monetary policy approach: the ECB is quick to…
Abstract
This paper investigates the European Central Bank’s (ECB) monetary policies. It identifies an anti-growth bias in the ECB’s monetary policy approach: the ECB is quick to hike, but slow to ease. Similarly, while other players and institutional deficiencies share responsibility for the euro’s failure, the bank has generally done “too little, too late” with regard to managing the euro crisis, preventing protracted stagnation, and containing deflation threats. The bank remains attached to the euro area’s official competitive wage repression strategy which is in conflict with the ECB’s price stability mandate and undermines the bank’s more recent unconventional monetary policy initiatives designed to restore price stability. The ECB needs a “Euro Treasury” partner to overcome the euro regime’s most serious flaw: the divorce between central bank and treasury institutions.
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Dragan Momirović, Marko Janković and Maja Ranđelović
The economic and financial crisis, especially the sovereign debt crisis, discovered many deficiencies and weaknesses in the banking sector in the European Union (EU). The…
Abstract
The economic and financial crisis, especially the sovereign debt crisis, discovered many deficiencies and weaknesses in the banking sector in the European Union (EU). The need for special surveillance and supervision of cross-border banking cooperation and termination of the toxic link between sovereign debt and banking sector have accelerated the process of forming and establishing a Banking Union (BU). An integrated financial framework has been established in which the European Central Bank (ECB) through the Single Supervisory Mechanism (SSM) has a key role and the responsibility for the overall supervision of the banking sector of the euro zone. The Single Resolution Mechanism (SRM) and schemes of the Single Deposit Guarantee Mechanism (SDGM) are under the national supervisory authorities while the European Banking Authority (EBA) is responsible for developing the Single Rules. From the new architecture is expected the preservation of the single market and a common currency, breaking “toxic connections” between sovereign debt and banks, mitigation and removal of financial instability and economic growth. The research shows that the BU together with the ECB in a certain sense, also contributes to the normalization of credit and financial conditions in the single mark. Estimates through SSM, conducted by the ECB and the EBA, during, 2014 and 2015 on 107 banks in 21 countries indicate progress toward solvency and resilience of the banking system of the euro area. Despite some initial success the entire project BU seems to have missed on opportunities, resulted in late reactions, and was too complex to be feasible. The political will of national governments to give up sovereignty over its banking sector and transfer competencies to the supranational institutions is a key factor in the success or failure of a BU. It seems so but past experience indicates that there is no political willingness to solve problems. Mainly most of the government avoids cleaning a hidden “skeleton in closets” due to lack of means for recapitalization while some are trying for loans from the ECB to help their banks. The ECB plays a key oversight role at the EU level and has too much power, which can cause risks caused by conflicting goals. The ECB is losing the role of the final refuge of liquidity, which is the main disadvantage of a BU. The SSM is susceptible to criticism due to difficulty in operation because of slow incorporation of European legislation into national law. Slow implementation carries risks of fragmentation of the market, regardless of the responsibility of the ECB. The financial capacity of the temporary agreement with the SRM is insufficient in solving the crisis of more banks while procedural application is complex and time-consuming. Planned backstop with a centralized resource is a resolution that is insufficient for solving the failure of big systemic banks, which are too big to bail. The heterogeneity of the existing Deposit Guarantee Schemes (DGS) and the banking systems of the member states of the euro zone caused controversy in terms of setting of common insurance schemes. The procedures for the recovery and resolution of critical banks are problematic.
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Suk-Joong Kim, Linda Lee and Eliza Wu
This chapter investigates the impact of policy interest rate news from the U.S. Federal Reserve (Fed) and the European Central Bank (ECB) on stock returns and volatilities…
Abstract
This chapter investigates the impact of policy interest rate news from the U.S. Federal Reserve (Fed) and the European Central Bank (ECB) on stock returns and volatilities of U.S. NYSE and German DAX listed commercial banks. We find that Fed news has the most influence on both U.S. and German listed bank stocks and an unexpected policy rate increase (decrease) lowers (raises) returns and raises volatility in the majority of cases. On the other hand, ECB news generally increases bank stock volatility in the United States but has little impact within its own domestic banking industry. While our results for the U.S. listed banks confirm that their stock prices are more responsive in bad economic times and also during periods of monetary tightening, we find disparities for German banks suggesting that U.S. and European banking industries respond heterogeneously to monetary policy news but the Global Financial Crisis increased the sensitivity of all banks to monetary policy news.
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This chapter investigates the predictability of the European monetary policy through the eyes of the professional forecasters from a large investment bank. The analysis is…
Abstract
This chapter investigates the predictability of the European monetary policy through the eyes of the professional forecasters from a large investment bank. The analysis is based on forward-looking Actual and Perceived Taylor Rules for the European Central Bank which are estimated in real-time using a newly constructed database for the period April 2000–November 2009. The former policy rule is based on the actual refi rate set by the Governing Council, while the latter is estimated for the bank’s economists using their main point forecast for the upcoming refi rate decision as a dependent variable. The empirical evidence shows that the pattern of the refi rate is broadly well predicted by the professional forecasters even though the latter have foreseen more accurately the increases rather than the policy rate cuts. Second, the results point to an increasing responsiveness of the ECB to macroeconomic fundamentals along the forecast horizon. Third, the rolling window regressions suggest that the estimated coefficients have changed after the bankruptcy of Lehman Brothers in October 2008; the ECB has responded less strongly to macroeconomic fundamentals and the degree of policy inertia has decreased. A sensitivity analysis shows that the baseline results are robust to applying a recursive window methodology and some of the findings are qualitatively unaltered from using Consensus Economics forecasts in the regressions.
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This chapter estimates a regime switching Taylor Rule for the European Central Bank (ECB) in order to investigate some potential nonlinearities in the forward-looking…
Abstract
This chapter estimates a regime switching Taylor Rule for the European Central Bank (ECB) in order to investigate some potential nonlinearities in the forward-looking policy reaction function within a real-time framework. In order to compare observed and predicted policy behavior, the chapter estimates Actual and Perceived regime switching Taylor Rules for the ECB. The former is based on the refi rate set by the Governing Council while the latter relies on the professional point forecasts of the refi rate performed by a large investment bank before the upcoming policy rate decision. The empirical evidence shows that the Central Bank’s main policy rate has switched between two regimes: in the first one the Taylor Principle is satisfied and the ECB stabilizes the economic outlook, while in the second regime the Central Bank cuts rates more aggressively and puts a higher emphasis on stabilizing real output growth expectations. Second, the results point out that the professional forecasters have broadly well predicted the actual policy regimes. The estimation results are also robust to using consensus forecasts of inflation and real output growth. The empirical evidence from the augmented Taylor Rules shows that the Central Bank has most likely not responded to the growth rates of M3 and the nominal effective exchange rate and the estimated regimes are robust to including these additional variables in the regressions. Finally, after the bankruptcy of Lehman Brothers the policy rate has switched to a crisis regime as the ECB has focused on preventing a further decline in economic activity and on securing the stability of the financial system.
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M. Nazmul Islam, Fumitaka Furuoka and Aida Idris
The purpose of this paper is to propose a conceptual framework for ensuring employee championing behavior (ECB) during organizational change for business organizations in…
Abstract
Purpose
The purpose of this paper is to propose a conceptual framework for ensuring employee championing behavior (ECB) during organizational change for business organizations in Bangladesh.
Design/methodology/approach
On the basis of previous literature, this paper proposed a framework for ensuring ECB during organizational change.
Findings
This paper proposed transformational leadership (TL), which enhances the championing behavior of the employee. In addition, valence, work engagement and trust in leadership act as potential mediators between TL and championing behavior. This paper also proposed organizational alignment (OA) as a potential moderator that influences ECB in the context of organizational change.
Research limitations/implications
This paper highlights numerous influential factors that enhance ECB. This proposed conceptual framework will be validated by the empirical evidence in future research.
Practical implications
This paper provides new insights for business leaders to understand the importance of ECB during organizational change. Moreover, this research underlined the effectiveness of valence, work engagement and trust in leadership and OA to nurture ECB in the time of organizational change, which helps managers of the business organizations to make efficient strategies to tackle organizational change.
Originality/value
This paper adopted Kurt Lewin’s change management theory and integrated with different factors associated with organizational change (TL, valence, work engagement, trust in leadership and OA) to propose a model to understand the mechanism of enhancing ECB in the context of change in Bangladesh’s business organizations.
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Henry Kofi Mensah, Ahmed Agyapong and Benjamin Appiah Osei
The issues regarding environmental behaviour in the hospitality sector are relatively underexplored, particularly in developing economies. To date, studies on corporate…
Abstract
Purpose
The issues regarding environmental behaviour in the hospitality sector are relatively underexplored, particularly in developing economies. To date, studies on corporate social responsibility (CSR) have reported a positive effect on the behaviour of employees generally. Inspite of the heightened interest in CSR and environmental behaviour, inquiry on this relationship is still deficient in a rigorous examination of potential boundary conditions. Therefore, this study examined the moderating influence of eco-lifestyle on the association between CSR and eco-citizenship behaviour (ECB) as well as its dimensions.
Design/methodology/approach
This study adopted a cross-sectional technique with a sample of 812 employees selected from luxury hotels via simple random sampling. A self-reported questionnaire was used to collect data from the hotel employees Descriptive statistics, Pearson’s correlation test and structural equation modelling were used to present findings.
Findings
The results of this study confirmed that CSR positively influences ECB upon controlling for education, job tenure, income and employee rank. Moreover, eco-lifestyle positively moderates the influence of CSR on ECB and each of its three domains. This study concluded that eco-lifestyle increases the positive impact of CSR on ECB.
Originality/value
Apparently, previous studies in this research area have often proffered an insufficient explanation on the conditions by which CSR positively influence employees’ environmental behaviour. This study considered this condition and examined the extent to which the association between CSR and ECB is moderated by the eco-lifestyle of employees in luxury hotels.
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