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Based on the stimulus-organism-response (S-O-R) model, this study examines how safety measures, related assistance and tangible benefits affect consumers' emotional and cognitive states, leading to behavioural responses in an uncertain store environment.

The proposed model was tested with the survey data collected from grocery shoppers in Japan and Croatia (n = 314 in each country) and analysed using structural equation modelling.

Safety measures and related assistance decreased perceived threat in Croatia, enhanced arousal in both countries and caused fear in Japan. Tangible benefits reduced fear in Japan and increased arousal in Croatia. In a crisis, perceived threats push unplanned buying and motivate consumers to protect themselves. Arousal drives unplanned buying but diverts consumers from health-focussed behaviour. Loyalty can be gained if fear is controlled.

To retain consumers, retailers should secure a safe shopping environment that reduces fear and provides enough benefits to outweigh the threat.

Using the S-O-R framework, this study enriches the literature on consumer behaviour in a pandemic by contributing new insights into (1) the impact of safety measures and tangible benefits as stimuli, (2) the organismic response through affective and cognitive states, (3) health-focussed behaviour as a novel outcome and (4) comparing the effects in the two countries.

This study delves into the complex realm of consumer behavior by exploring the impact of distinct shopping motives, encompassing status, value and gratification, on store satisfaction within the domain of organic food retail. Moreover, it seeks to decipher the influence of perceptual disparities between male and female patrons on the intricate nexus between shopping experience and consumer loyalty within organic food stores.

A comprehensive dataset comprising responses from 400 participants was gathered and subjected to confirmatory analysis and structural equation modeling. These analytical tools were employed to dissect the data, validate the underlying research framework and unveil critical insights.

The empirical analysis, facilitated by structural equation modeling, substantiates that organic food stores prioritize the organic attribute, primarily centered on healthiness, often to the detriment of broader conceptual and social aspects. This validates the interplay between shopping experience dimensions, customer contentment, loyalty and the intent to revisit. Gender, as a moderator, exerts a discernible influence on these relationships, highlighting distinct shopping behaviors among male and female consumers when gauging the influence of shopping experience dimensions within organic food retail establishments.

The implications of this research resonate deeply within the organic food retail landscape. The insights garnered provide valuable guidance to organic food retailers aiming to enhance their store ambiance and allure, thereby fostering sustained customer satisfaction. This, in turn, augments the propensity for customer loyalty and repeat patronage, a particularly pressing concern in today's fiercely competitive retail milieu. Furthermore, the study carries significant ramifications for organic food producers and governmental entities, outlining a framework for augmenting the value proposition of organic foods in alignment with customer experiential paradigms.

In a milieu characterized by the emergence of novel product categories and industry entrants, the study fills a critical void by investigating customer satisfaction within the broader retail food sector, with specific focus on organic food stores. Moreover, the research embarks on a pioneering exploration of the prospective trajectory of organic food stores in the Indian context, employing a marketing lens and grounded in the theory of needs satisfaction.

After completion of the case study, the students would be able to comprehend the crisis at hand for Milkbasket, why did it resist Reliance’s takeover in the first place, then to evaluate the pros-cons and future prospects for the organization post-acquisition; to evaluate from an ethical standpoint the process of mergers and acquisitions using ethical frameworks to understand how, when, to whom and through what processes do mergers and acquisitions qualify the test of being ethical; and to analyse different hostile takeovers, especially through tender offers, proxy contests and toehold bidding strategy in this case.

Founded in 2015, Milkbasket was a micro-delivery start-up based in Gurugram (near New Delhi), India. Milkbasket would let its subscribers order till midnight and deliver groceries, milk and other everyday essentials to its subscribers before 7 a.m. next day. It had burnt a lot of cash and was facing difficulty in getting investors; as such they were engaged in discussions with many companies. Two of them – Reliance Retail Venture Limited and BigBasket – were not accepting the proposed valuation, but Milkbasket got term sheets from other two companies.

This case study can be used for graduate courses on strategic management, business ethics and corporate governance. This case study can also be used in corporate finance course to highlight the importance of making ethical/responsible judgements to protect stakeholder interests.

Teaching notes are available for educators only.

CSS 3: Entrepreneurship.

The case study offers interesting learning possibilities and offers the following learning opportunities to the learner. assess and conduct a macro- and micro-environmental analysis, comprehend the nature of the competitive landscape and how it changes when one looks at a digital-only versus an omnichannel marketplace, examine the product mix and policy of the firm and evaluate how it delivers customer value and analyse the pros and cons of growth strategies available to a firm and arrive at a viable and actionable future business and product strategy.

The short case study presents the story of a young start-up called Country Delight. The firm began operations in 2011 and was the brainchild of Chakradhar Gade and Nitin Kaushal. The direct-to-consumer firm addressed urban consumers’ non-articulated, latent need to get “fresh and uncontaminated” milk to their doorstep. Country Delight delivered farmer-to-consumer fresh cow and buffalo milk and milk products based on a well-designed and efficient value chain where the supply chain was either wholly owned or quality monitored by the firm. The firm began operations in India’s National Capital Region and was spread across 15 metro cities. Slowly, over the years, Gade and Kaushal added more product categories.Country Delight had a subscriber base of around 500,000, and the ambitious duo wanted to double their subscriber base and reach one million subscribers by financial year 2025. The firm was looking at various paths to achieve this number. Should Country Delight expand into new geographies? Or look at adding to the existing product portfolio? Diversification into agritourism, like the Pune-based vineyard – Sula, also looked attractive to build consumer engagement. Would taking the consumer to the farmers from whom they sourced the milk and vegetables contribute additional revenue to Country Delight and their farmer-suppliers? As the firm got ready to raise another round of funding, it needed a well-articulated growth strategy that was exciting and profitable for all stakeholders.

This case study presents the dilemma entrepreneurs face as they look at the next phase of growth. Thus, this case study serves as a learning opportunity for a graduate-level course in management and as a sounding board for those who aspire to enter the start-up space. Though this case study has the potential to illustrate basic concepts such as value chain and macro- and micro-environment analysis, the protagonist’s dilemma and the problem statement make it apt for integrated discussions that are critical in advanced electives in marketing management.

Teaching notes are available for educators only.

CSS 8: Marketing.

Discount grocery stores (DGSs) are attractive food supply chain (FSC) channels because many cost-conscious Indians use them for monthly needs. Despite capacity, DGSs must address customer concerns about store crowd densities and improve their COVID-19 preparedness. The purpose of this study is to learn how retail operations strategies can improve customer experience and how stores can benefit.

The study looked at a case study where retail operations are run more efficiently, and the customer experience is enhanced by standardizing and customizing customer transactions. The potential benefits that customers and retailers might anticipate are then statistically verified. Next, the potential benefits were examined to determine which ones from customers’ and retailers’ views should be prioritized to increase satisfaction.

The case situation analysis in the study demonstrates how DGSs can improve their retail operations to reduce customer wait times and provide greater convenience. The study also provides practitioners with potential benefits to pursue from the perspectives of retailers, customers and both retailers and customers.

This study requires many past transactions and can be considered an extension of the current study, so it does not capture floor space and capacity improvements.

This research can help FSC retailers compete with upstream supply chain partners and customers in omnichannel retailing. By improving DGS retailer capacity and customer experience, this study can benefit all FSC stakeholders.

Although there are numerous potential benefits that practitioners can pursue, the current study suggests that practitioners focus on those that can improve retailer and customer satisfaction.

This study aims to evaluate the loyalty formation model on e-grocery service incorporating food quality, e-grocery quality and relationship quality as determinants of loyalty.

The quantitative approach was used by using 353 data from young Indonesian customers with purchasing experience of local food through e-grocery service. The hypothesized relationships between variables were tested using partial least squares structural equation modeling.

The results confirm that local food quality, e-grocery service quality and the relationship quality elements of a sense of community and attitudinal attachment, are all loyalty drivers. Next, mediation tests reveal that local food quality and e-grocery service quality influence customer loyalty through customers’ attitudinal attachment and a sense of community.

This study recommends that managers of e-grocery services of local food businesses could benefit from the development of attachment and a sense of community among their young clients. Furthermore, to develop loyalty among young customers, offering high-quality local food as well as e-grocery services is suggested.

To the best of the author’s knowledge, this is the first examination of the e-grocery service loyalty in the context of local food.

This meta-analysis aims to examine and compare the pleasant ambient scent effects on consumers’ affective, cognitive and behavioural responses in the retail and hospitality sectors.

55 articles, including 102 effect sizes, are collected from electronic databases and search engines. The effect of pleasant ambient scents on consumer responses is examined using meta-regression analysis.

The results show a positive effect of pleasant ambient scent on all responses in both sectors, while the effects on cognitive and behavioural responses are stronger in hospitality than retailing. Moreover, the scent effects in hospitality research vary with method aspects, including sampling frame, research design, setting and location.

The findings provide theoretical insights on the sensory tangibilization of experience and methodological insights on designing scent research.

The stronger effect of pleasant ambient scents on cognitive and behavioural responses in a hospitality environment signals that contextual differences should not be neglected. Moreover, hospitality researchers need to stay vigilant to the methodological influence on the findings about scent effects. These findings enrich the sensory marketing literature, in which contextual comparison is scarce.

This research paper explores customer experience (CX) among low-literate customers in organized retail environments. It integrates theories from customer literacy, CX and patronage literature to understand CX comprehensively.

The study gathered data from 470 respondents using mall intercept and snowball sampling. Data analysis employed partial least squares (PLS) modeling.

The results indicate that all the dimensions do not have the same effect on CX. Answering calls for future research, the results establish CX's nomological validity by showing its positive influence on retail reputation, retail quality and satisfaction. However, it does not directly affect patronage but has an indirect influence through retail quality and satisfaction. Also, the authors conclude that retail quality and satisfaction are consequences of CX and not previously conceptualized proxies for it.

Conducting primary research with low-literate customers (LLCs) has its own set of limitations that give rise to further research directions. While acknowledging limitations, the study suggests avenues for future research by surveying LLCs with an objective questionnaire, contributing to limited empirical research in this segment.

The findings highlight the multidimensional nature of CX. In summary, this research paper provides insights into CX dimensions and outcomes for LLCs in organized retail. It contributes to marketing literature, assisting retailers in improving CX and driving patronage across customer segments.

The paper contributes to marketing literature by studying LLCs, testing a comprehensive CX model, confirming antecedents in retail patronage and exploring reciprocal relationships in retailing.

This study examines the influence of consumer skepticism on cause-related marketing (CRM) campaign participation intentions of Generation Z consumers from emerging market perspective. This study was undertaken due to the paucity of relevant literature in the public domain to directly investigate whether and how consumers' skepticism affects CRM participation intentions, specifically in the luxury retailing context.

A survey was conducted among 552 Generation Z consumers and path analysis was used to examine the direct and indirect effects of skepticism. The mediation and moderation analysis was used to explore and test the authors' hypotheses via partial least squares structural equation modeling (PLS SEM).

The authors' findings provide empirical evidence that corporate social responsibility, religiosity and cause involvement positively affects consumer participation intentions, and this link is also established indirectly through skepticism toward the CRM campaign. These findings provide novel theoretical contributions by establishing skepticism's complex role in determining the CRM participation intention in the Generation Z consumers' context. This study further demonstrates the moderating effect of gender and luxury store format on consumer skepticism and CRM participation intentions.

The Generation z group will represent a quarter of the Asia–Pacific region's population by 2025. However, little is known about Generation z consumers' CRM participation intentions. This research would help practitioners, including luxury retailers, CRM managers and advertising professionals, to effectively design CRM campaigns. The paper contributes by highlighting the theoretical implications and managerial implications based on the current findings in the emerging market context.

The purpose of this paper is to examine the effects of physical environment design (PED) and its antecedents on consumers’ emotional well-being (EWB). Drawing on place identity and emotional theories, the study aims to provide a new perspective to retail store experiences.

A survey of 800 respondents was conducted in London, out of which 764 responses were constructively used. The data was collected from international retail outlets, and structural equation modelling was used to analyse the data.

The empirical results show that PED has a positive effect on consumers’ EWB. Among the antecedents, visual identity does not have any significant effect on PED and EWB. In contrast, communication had a significant effect on PED but did not have any effect on EWB, and further, cultural heritage had a positive effect on both PED and EWB. Further, moderator analysis identifies the boundary conditions under which specific theories hold.

The value of this paper lies in its potential to be used for creating the perfect design planning in retail stores. Significant implications for managers and researchers are highlighted.

This paper presents an innovative approach to develop the principles of retail store’s PED to support the EWB of consumers.