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In the 1980s and 1990s, Nintendo was dominating the video game industry with a market share of 90 per cent. Since that time, market share has dropped substantially with…
In the 1980s and 1990s, Nintendo was dominating the video game industry with a market share of 90 per cent. Since that time, market share has dropped substantially with new competitors, new technology and changing consumer preferences. This case examines the history of Nintendo including its loss of market share in a rapidly changing industry.
Complexity academic level
This case is suitable for undergraduate courses in strategic management where an instructor’s focus is on strategic decision-making.
Non-voluntary tipping (e.g. automatic gratuity) has received growing attention in the service industry. Existing research suggests customers respond unfavorably to…
Non-voluntary tipping (e.g. automatic gratuity) has received growing attention in the service industry. Existing research suggests customers respond unfavorably to non-voluntary tipping, yet little research has examined why. The current study aims to address this question, with particular interest in response to non-voluntary tipping under high-quality service.
Two scenario-based experiments tested the proposed hypotheses in between-participants design using ANOVA, hierarchical regression and PROCESS.
Study 1 showed that non-voluntary tipping resulted in higher negative emotions, which led to lower return intentions. Surprisingly, the negative effect of non-voluntary tipping was as strong (or stronger) under high (vs low) quality service. To understand this counterintuitive effect, Study 2 developed and tested two competing process models (i.e. blocked vengeance vs blocked gratitude). Supporting the blocked gratitude model, results revealed that non-voluntary tipping hinders customers’ ability to reward service employees, undermining positive emotions and lowering return intentions.
Current work was conducted in two settings using two scenario-based experiments. Hence, additional settings with non-scenario-based studies are encouraged.
The present work cautions managers considering a move to non-voluntary tipping to be aware of its negative effects, especially when the service quality is high. The blocked gratitude model suggests that managers should clarify methods available for customers who wish to reward good service.
This paper is the first to examine customer response to non-voluntary tipping under different levels of service quality and the underlying emotional mechanisms.
Tipping within the foodservice industry has traditionally been reserved for full-service restaurants. However, there is a growing trend of tip requests at limited-service…
Tipping within the foodservice industry has traditionally been reserved for full-service restaurants. However, there is a growing trend of tip requests at limited-service restaurants, where tipping occurs prior to consuming the product. This research aims to examine the effect of a point-of-sale tip request at limited-service restaurants on return intentions via customer irritation. It also aims to analyze the moderating effects of check amount and perceived deservingness.
Four online scenario-based experiments were conducted to test the hypotheses. Participants were recruited from MTurk for all experiments (NStudy 1 = 152; NStudy 2 = 296; NStudy 3 = 206; NStudy 4 = 134).
Studies 1 and 2 suggested a negative impact of presenting a tip request on return intentions, with customer irritation as the underlying mechanism. Study 3 found the indirect effect was significant only when the check amount was low. Study 4 found that perceived deservingness of a tip also moderated this effect; the indirect effect was significant only when customers felt the employee did not deserve a tip. The effect was attenuated when customers felt the employee deserved a tip.
This paper contributes to the underexplored area of tipping behavior in the limited-service context. The findings contrast extant research on voluntary tipping at full-service restaurants, thus advancing theory by suggesting the consequences of tip requests are contextual and providing practical insights to limited-service establishments contemplating whether to begin requesting tips.
The credit card market is very large and segmented by targeting different types of consumers. One type of credit card is one that specifically targets people in the…
The credit card market is very large and segmented by targeting different types of consumers. One type of credit card is one that specifically targets people in the education sector, for instance, students, teachers and other staff members. This study aims to compare the features of education and other credit cards in Malaysia.
The study analyzes data concerning 234 credit cards by using descriptive statistics and a one-way analysis of variance test.
Out of 234 credit cards, this study found only two credit cards especially target education sector customers. The study evaluated 13 features of these credit cards and found that only 2 features are statistically significantly different from other conventional credit cards in Malaysia. These features are interest rate and cash withdrawal charge fees.
This is an original study based on the compilation of data from secondary sources. The findings will provide valuable insights to financial regulatory policymakers, academics and business managers.