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The purpose of this paper is to examine whether explicitly communicating the customer’s resource integrating role in value propositions improves or diminishes value proposition effectiveness.

Based on existing research on value propositions, three effectiveness criteria are used: role clarity, expected customer value, and purchase intention. Two experiments manipulating the presence of the customer’s resource integrating role in value propositions test the conceptual model in both an indirect interaction (Study 1, toothpaste, n=207) and a direct interaction context (Study 2, fitness program, n=228). Additionally, Study 2 includes the moderating role of resource availability.

Explicitly communicating the customer’s resource integrating role in value propositions increases customers’ role clarity, which in turn influences customer’s attitude toward the service and purchase intention through a service-related (i.e. expected benefits and expected efforts) and an ad-related (i.e. ad credibility and attitude toward the ad) route. However, these results only hold for customers high in resource availability.

This research provides initial empirical support for the often-stated claim that value propositions should include the (potential) value of the offering as well as the (resource integrating) role of the customer. Taking a broader perspective, this research provides initial empirical support for recent calls to develop marketing communication practices that facilitate value-in-use. This paper’s findings show that adopting service logic in marketing communications seems to improve value propositions’ effectiveness.

There is growing recognition that the core economic resources of the current era are human and intellectual capital, rather than physical assets such as inventories, plant, and equipment. Given the increasing importance of human capital and intellectual property as determinants of economic success at both the macroeconomic and enterprise levels, it is clear that the nature of investments made by firms need to shift to reflect the new economic realities. Specifically, if human capital is a key determinant of organizational success, then investments in training and development of people also become critical. In turn, there is a need to develop concepts and tools for monitoring and evaluating management development programs in terms of their impact, results, and value or return on investment. The specific objective of this article is to draw upon the concepts and measurement approaches of the field that has come to be known as “human resource accounting” and show how they, specifically the stochastic rewards valuation model, can be used as tools for the measurement of the value of investments in training programs designed to increase the value of human capital.

The study investigates how the congruence of online deal popularity and star rating influences service quality expectation in online group buying (OGB) websites. It also investigates the role of authenticity perceptions of online cues.

Two experiments are used to assess the effects of congruence between deal popularity and star rating on service quality expectation for service deals in an OGB website.

The findings suggest that a combination of congruently high deal popularity and high star rating has a stronger effect on expected service quality than a combination of congruently low cues. The findings further suggest that expected service quality is greater under the combination of high deal popularity and low star rating than the combination of low deal popularity and high star rating, showing the differences between incongruent cue combinations. The findings also show the moderating effect of consumer authenticity perceptions of cues on the expected service quality.

The novel contribution of the study is to extend cue congruence theory to explain how congruent online information cues and the consumers' authenticity perceptions of the cues influence consumers' judgment of online deals. The contribution is validated empirically in the context of OGB. The findings advance current knowledge concerning how consumers use online information cues.

This paper aims to conduct a preliminary assessment of patient attitudes regarding important aspects of service dimensions using SERVQUAL. Design/methodology/approach – The SERVQUAL scale is routinely used at the Baskent University Hospitals Network, Turkey. The study consisted of 550 randomly chosen patients who presented to any member of the hospital network during January and February 2006 and received treatment as inpatients or outpatients at those healthcare facilities.

The patients' perceived scores were higher than expected for an ordinary hospital but lower than expected for a high‐quality hospital. Young patients had a high‐expected service score gap and a low adequate service score difference. Highly educated patients had a high‐expected service score difference. Uninsured patients had a low adequate service score difference. Originality/value – Baskent University multidisciplinary healthcare teams have performed periodic patient satisfaction surveys in order to identify strengths and problem areas, formulate the quality improvement objectives and monitor progress towards achieving these objectives. However, patient satisfaction survey results are often highly positive. In these cases, improving care is not easy because measures are not sensitive enough to changes. Therefore a more sensitive measurement tool based on the SERVQUAL scale was developed. The authors believe that patient opinions are extremely important because they provide information that is not necessarily emphasized by managers or health care professionals, resulting in a more complete assessment of past performance and a clearer road map for future action.

The purpose of this paper is to examine the differences in consumers' attributions of blame for service failures and its affect on their expectations for recovery in both online and offline settings.

A sample of non‐student adults participated in a 2 (service type) by 2 (shopping medium) experimental design testing the affects of on‐ and offline shopping on consumers' attributions of blame for a service failure. Specifically, regression is employed to test the effects of on/offline medium on blame and expected service failure recovery in both the airline and banking industries.

Empirical support is found for the hypotheses that online subjects blame themselves more for service failures, and, in turn, expect less of a recovery than offline consumers. The on/offline medium is shown to have a mediated effect on expected service failure recovery through blame in the airline data. In the bank data, on/offline medium has a significant affect on blame, and blame has a significant affect on expected service failure recovery, though on/offline medium does not show a mediated affect on expected service failure recovery.

Because online customers tend to blame themselves more for service failures, managers may be able to offer less of service failure recovery online than offline. Furthermore, online customers may be more willing to recover for themselves, thereby saving the firm money and placing customers more in control of their service experience.

This study allows for the possibility of consumers' blaming themselves for service failures and, to our knowledge, this is the first study to examine how attribution for service failure affects expected service failure recovery in both on‐ and offline settings. Managers should find our results useful in developing service failure recovery strategies.

Service failure is detrimental for both enterprises and customers; therefore, it is particularly important and cost effective for service enterprises to take precautionary measures rather than provide recovery after service failure. Based on the inoculation theory, this research examines the impact and the boundary conditions of inoculation messages on the effectiveness of service recovery.

The proposed research model is examined through two scenario-based experimental studies. A total of 627 datasets was collected and analyzed with the SPSS program with the PROCESS tool to examine the moderation (Model = 1) and three-way interaction (Model = 4) effects.

The research findings show that inoculation messages moderate the relationship between recovery measures and customer satisfaction. Specifically, there is a positive relationship between service recovery and recovery satisfaction, which can be further boosted with inoculation messages. Importantly, inoculation messages eliminate the significant difference between the effects of expected recovery and high recovery. However, inoculation messages are only effective for enterprises with high brand equity.

These findings have important theoretical and practical implications for the service recovery practice of service enterprises.

The purpose of this paper is to present a conceptual risk assessment technique to aid facility managers with developing robust asset management programs. It proposes to evaluate three discrete risk sensitivity levels relative to the recognition of stochastic costs on expected budgetary outcomes. The paper expands the domain of available risk assessment techniques toward estimating impacts from uncertainty on desired levels of service.

The paper explores the concept that facility managers can cost‐effectively manage robust asset management programs. This is accomplished by evaluating simple relationships between risk‐sensitive decision‐response alternatives and systems degradation characteristics. The resulting parameters are aggregated to estimate expected budgetary outcomes for robust asset management programs.

The paper reveals that if facility managers assume risk‐avoidance positions, they can positively affect expected budgetary outcomes for robust asset management programs. Facility managers can manage the magnitude of these adverse impacts by mitigating stochastic costs associated with the completion of unscheduled asset management activities.

The expected implications are enhancements to the abilities of facility managers to cost‐effectively manage stochastic costs relative to risk sensitivity and desired levels of service. However, because of the chosen research approach, the research results may lack general usability. Therefore, researchers are encouraged to test the proposed propositions further.

The practical implications allow facility managers to cost‐effectively manage adverse impacts on expected budgetary outcomes for robust asset management programs.

The expected contribution is a tool for facility managers to manage uncertainty when allocating limited financial resources among the competing corrective, maintenance, and rehabilitation activities within robust asset management programs.

The paper fulfills an identified need to study how facility managers can do more with less. This need to be cost‐effective requires facility managers to recognize stochastic costs on the expected budgetary outcomes for robust asset management programs.

Studies reputation for service quality as a potential moderator of the relationship between a service guarantee and its impact on consumer perceptions of service quality, risk and purchase intent. A before‐after experimental design, set in the hotel industry, was employed to explore the impacts of a service guarantee for an outstanding versus a good service provider. Contrary to what had been implied in the past, the introduction of an explicit guarantee had no negative effect for the outstanding service provider in our study. In fact, the provision of a guarantee marginally improved expected quality, reduced perceived risk, and had no effect on purchase intent. However, for the good quality provider, the impacts were all positive and strong, and apart from the impact on perceived risk, the effects were significantly stronger than those for the outstanding quality provider. Our findings thus support the hypothesized moderating role of service quality.

The purpose of this research paper is to investigate the role of price and price expectations in service quality evaluations based on a study of the US hotel sector.

The paper is based on an experimental study to test service quality and price congruency through randomly assigned treatments to a quota sample of 120 students.

The research shows that the degree to which subjects' price expectations are met influences their evaluations of service quality. This is especially true in the case of a price loss; when the actual price exceeds the expected price. However, when there is a price gain, subjects' evaluations of service quality were not affected.

The experiment sacrificed external validity for internal control; an artificial stimulus was used in a carefully controlled experimental setting to control the subjects' exposure to price and service manipulations. A small sample size of student subjects was used; only 20 subjects in each treatment group. The results obtained were based on subjects' evaluation of a written script, and not an actual service encounter. By virtue of using an experimental design, the experiment did not consider a broad range of potential factors.

The paper uses an experiment to test the effects of price gains and price losses on consumers' perceptions of the quality of a service encounter.

The aim of this paper is to document a study, in which the SERVQUAL scale was used to evaluate hospital services, conducting a preliminary assessment of patient attitudes regarding the important aspects of service dimensions.

The SERVQUAL scale was implemented into routine use at the Baskent University Hospitals Network in Baskent, Turkey. The study consisted of 550 randomly chosen patients who presented to any member hospital in that network during January and February 2006 and received treatment as inpatients or outpatients at those healthcare facilities. The SERVQUAL scale was utilised to evaluate hospital services.

A questionnaire was completed by a total of 472 (86.0 per cent) patients. The perceived scores of the patients were higher than expected for an ordinary hospital but lower than expected for a high‐quality hospital. The highest difference between the perceived service score and the expected service score was found at the Alanya Application and Research Center in Alanya, Turkey.

The paper demonstrates the use of the SERVQUAL scale in measuring the functional quality of the hospitals assessed.