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Three scenario-based experiments were conducted to explore the influence of the base option’s price format (just-at vs just-below) on tourists’ upgrade intention. The findings of this research indicated that tourists are more inclined to upgrade the option when the base option’s price is presented in a just-at condition due to the mediating role of tourists’ price perceptions of the upgrade option. This study discovered that the just-at (vs just-below) pricing strategy can lower tourists’ price perceptions of the upgrade choice. This research further explored the moderating of tourists’ mindsets. It was found the threshold-crossing effect will disappear for tourists with fixed mindsets. This study also provides practical implications for travel service providers to set up appropriate pricing strategies to attract tourists to make upgrade decisions.

Gillette’s historically successful “razor and blade” business model (RBM) has been a promising benchmark for multiple businesses across diverse industries worldwide in the past several decades. The extant literature deals with very few nuances of this business model notwithstanding the fact that there are several variants of this business model being put to practical use by firms in diverse industries in grossly metaphorically equivalent situations.

This study adopts the 2 × 2 truth table framework from the domains of mathematical logic and combinatorics in fleshing out all possible (four logical possibilities) variants of the razor and blade business model for further analysis. This application presents four mutually exclusive yet collectively exhaustive possibilities on any chosen dimension. Two major dimensions (viz., provision of subsidy and intra- or extra-firm involvement in the making of razors or blades or both) form part of the discussion in this paper. In addition, this study synthesizes and streamlines entrepreneurial wisdom from multiple intra-industry and inter-industry benchmarks in terms of real-time firms explicitly or implicitly adopting several variants of the RBM that suit their unique context and idiosyncratic trajectory of evolution in situations that are grossly reflective of the metaphorically equivalent scenario of razor and recurrent blades. Inductive method of research is carried out with real-time cases from diverse industries with a pivotally common pattern of razor and blade model in some form or the other.

Several new variants of the razor and blade model (much beyond what the extant literature explicitly projects) have been discovered from the multiple metaphorically equivalent cases of RBM across industries. All of these expand the portfolio of options that relevant entrepreneurial firms can explore and exploit the best possible option chosen from them, given their unique context and idiosyncratic trajectory of growth.

This study has enriched the literature by presenting and analyzing a more inclusive or perhaps comprehensive palette of explicit choices in the form of several variants of the RBM for the relevant entrepreneurial firms to choose from. Future research can undertake the task of comparing these variants of RBM with those of upcoming servitization business models such as guaranteed availability, subscription and performance-based contracting and exploring the prospects of diverse combinations.

Smart entrepreneurial firms identify and adopt inspiring benchmarks (like razor and blade model whenever appropriate) duly tweaked and blended into a gestalt benchmark for optimal profits and attractive market shares. They target diverse market segments for tied-goods with different variants or combinations of the relevant benchmarks in the form of variegated customer value propositions (CVPs) that have unique and enticing appeal to the respective market segments.

Value-sensitive customers on the rise globally choose the option that best suits them from among multiple alternatives offered by competing firms in the market. As long as the ratio of utility to price of such an offer is among the highest, even a no-frills CVP may be most appealing to one market segment while a plush CVP may be tempting to yet another market segment simultaneously. While professional business firms embrace resource leverage practices consciously, amateur customers do so subconsciously. Each party subliminally desires to have the maximum bang-to-buck ratio as the optimal return on investment, given their priorities ceteris paribus.

Prior studies on the RBM have explicitly captured only a few variants of the razor and blade model. This study is perhaps the first of its kind that ferrets out many other variants (more than ten) of the razor and blade model with due simplification and exemplification, justification and demystification.

This paper aims to empirically investigate the role of market-based transformative service initiatives (TSIs) during the refugee crisis and shed light on how such TSIs increase inclusion of refugees in service systems by using market forces while creating broader benefits for service organizations themselves.

This paper uses the case of the World Food Program’s (WFP) Dalili smartphone application targeting Syrian refugees in the context of Lebanon. A mixed-methods approach, including in-depth interviews with the retail managers of the local supermarkets and statistical cross- and intra-regional analysis on the retailing mix elements of the local supermarkets was adopted for the empirical investigation.

The results show that the WFP’s Dalili TSI increases service inclusion of refugees by facilitating their access to the essential food services easier and at affordable prices and helps them integrate into the host community. Furthermore, such market-based TSIs were shown to have broader benefits for other stakeholders in the food retail ecosystem including retailers and nonrefugee shoppers as they are successful in improving the retailing management standards of the participating supermarkets by decreasing the average retail price of the merchandise, increasing their variety and assortment, increasing promotional offers and improving the customer service level.

This research fills the gap in the literature for empirical investigation on the impact mechanism of market-based TSIs on service inclusion and well-being of refugees. In contrast to the majority of TSIs studied in the literature that are designed by governments or nonprofit organizations in the areas such as higher education, health care and humanitarian aids, this study focuses on the case of TSIs developed by supranational organizations using market forces in the food retail ecosystem. Furthermore, the findings suggest that TSIs could also benefit the service organizations that offer such initiatives.

The findings of this paper have implications for service organizations and policymakers and their ability to design effective market-based TSIs during the refugee crisis.

The studied case in the context of TSIs in the food retail ecosystem and the empirical approach used are academically novel. Moreover, focusing on the refugee crisis in the Middle East region is rather understudied in the service research literature.

This paper aims to investigate the effect of product price image (PPI) on perceived value (PV) and repurchase intention (RI) of Brazilian customers' craft beer. Moreover, this research also verifies the moderating effect of customer experience (CE) and price sensitivity.

The survey data analysis was performed using Smart-PLS 3.3.9 and Process 4.1 software with 329 customers.

The results show that PV is a full mediation variable in the relationship between PPI and RI. As a mediated moderation, lower CE and price sensitivity better explain the indirect effect of PPI on RI via PV.

Thus, managers may reinforce the PV of low price sensitivity and low CE. These customers learn about companies' prices compared with higher price-sensitive customers and higher CE that already PV.

The article discusses the implications of PV as a mediator, low price sensitivity and low CE as moderators for craft beer.

1. The world's most widely consumed alcoholic beverage, following water and tea, the third-most-popular drink on earth is beer;

2. Managers should create strategies to reinforce the PV and consequently the RI by offering PPI and benefits (PV) for customers with low experience and low-price sensitivity about craft beer;

3. Low customer experience and low-price sensitive's customers are learning about companies' prices compared to higher price sensitive, and higher customer experience that already PV, PL, PF, and PEs and NEs;

4. Small producers craft beer that connotated the product's high quality and benefits; the higher may be the level of RI and consumption from customers.

The world's most widely consumed alcoholic beverage, following water and tea, the third-most-popular drink on earth is beer;

Managers should create strategies to reinforce the PV and consequently the RI by offering PPI and benefits (PV) for customers with low experience and low-price sensitivity about craft beer;

Low customer experience and low-price sensitive's customers are learning about companies' prices compared to higher price sensitive, and higher customer experience that already PV, PL, PF, and PEs and NEs;

Small producers craft beer that connotated the product's high quality and benefits; the higher may be the level of RI and consumption from customers.

After completion of the case study, the students will be able to appreciate and understand why brands are an essential asset to the company and how they can enhance business value, understand the factors needed to grow brands in the growth stages and evaluate the choices that start-up companies have to grow their brand in competitive and growing markets.

Mamaearth was born as a direct-to-consumer brand in 2016 by a couple who could not find chemical-free, safe products for their child. The company that introduced as a baby-care brand soon consolidated itself to play in the space of personal care category (targeting millennials), and by 2020, it was earning majority of its revenue from skincare. It started by leveraging the power of social media space and online commerce and slowly moved to be a national brand with offline footprint and mass-media communication. In its growth journey, it acquired many brands and launched a few to cater to the specialized needs of its target audience. As the company grew, attracted impressive investors and started clocking profits, it aspired for an initial public offering (IPO). Varun and Ghazal Alagh, the founders of Mamaearth, knew that to refloat an IPO and to grow the company further, they needed to redefine their portfolio and marketing strategy. They had a choice to either invest in building a broader portfolio – organically or inorganically – or expand across geographies. Both were an option, albeit expensive, which could cost Mamaearth its profitability.

This case is intended for discussion in undergraduate and graduate management courses.

Teaching notes are available for educators only.

CSS 8: Marketing.

Motivated by the wide application of procurement strategies in retailing, this paper aims to examine the effect of procurement strategies on decisions and profits and strategic inventory (SI) is considered.

The game-theoretic models are developed under a two-period fresh product supply chain (FSC), and consist of the mode of purchasing products only in the first period without SI (Scenario S), the mode of purchasing products in every period without SI (Scenario T) and the mode of purchasing products in every period with SI (Scenario TS).

Conducting the calculating and comparing, some major findings can be concluded. In general, two-period purchasing strategies (Scenarios T and TS) promote a higher freshness-keeping effort than the single buying strategy (Scenario S). Regarding the pricing strategy, SI and Scenario S can both contribute to obtaining a lower wholesale price, the retailer's pricing is relatively complicated and hinges on the consumer's sensitivity to freshness-keeping effort and the holding cost. Besides, comparing the sales quantity and the profit, the authors find that Scenario TS stimulates more demands and brings more profits for the manufacturer. However, Scenario TS is not the optimal selection for the reason that SI sometimes hurts the retailer and even the whole supply chain. Whereas, when the holding cost is in a certain range, Scenario TS will lead to a win-win situation.

The main findings of this study can give the enterprises some advice on the procurement strategies of fresh products and the decisions of pricing and the freshness-keeping effort.

The purpose of this study is designed to achieve the learning process in producing studies involving economic issues and scenarios in business management in Malaysia. In addition, this study will provide exposure to the integration of managerial skills by using both microeconomics and macroeconomics concepts and theories to aid decision-making in a business environment.

The research method comprised qualitative methodology of literature review, case study and quantitative methodology of multiple linear regression (MLR). In this case, seven microeconomics and macroeconomics factors which are believed to significantly affect house price index (HPI) are taken into consideration which includes gross domestic product, consumer price index (CPI), government tax and subsidy on housing, overnight policy rate, unemployment rate (UNEMP), the median income (INC) and cost of production index.

This research has resulted in three significant factors affecting HPI from MLR, which include CPI, UNEMP and INC where the increase of these factors will cause a high increment of HPI. The other four factors are not significant.

Malaysia has been facing the stagnancy in house market these recent years due to issues such as massive oversupply, impacting Malaysia’s economy specifically focusing on domestic direct investment. To avoid oversupply issues, the vitality of future house demand and pricing forecast should be comprehended by involved bodies for more effective planning for the house development industry. To make a better and bigger impact, this research is intended to analyse the microeconomic and macroeconomic factors affecting the HPI to better understand the significance of each of these factors to the changes of HPI to resolve these economic issues.

This case study aims to understand the role of women entrepreneurship that reconcile the interests of not only business but also the economy as a whole; to map the most common avenues and levers as well as challenges and impediments in entrepreneurship; and to study how women have proved themselves and created value (for company as well as consumer) and driven leadership in business.

This case study predominantly is an entrepreneurial journey of the protagonist who left her cushy job to follow her dreams and started her own venture in hospitality industry. The case is designed on the basis of rounds of interviews conducted with the owner, hence it is based on primary data. Jayanti Kathale, a technology expert, working with a reputed organization, started Purna Bramha in 2013. The unique selling proposition of her food business was the home-like taste of the Marathi cuisine that she was serving. There were challenges like funding, logistics and pricing just like any other start-up. But Jayanti was determined to excel and her perseverance helped her get through all the challenges. Besides being a successful entrepreneur herself, she played a role in empowering other women also, by offering them franchisees of her restaurant. The food service industry is fast-paced, competitive and constantly evolving. This is taken well into consideration and proper training is organized for the staff. The protagonist's main quandary at this time is her pricing strategy.

The case is designed to be taught to the undergraduate and postgraduate management students and any other equivalent course. It can be taught in 2-h class and is expected to require some outside preparation by students. The students should be acquainted with the basic concepts of entrepreneurship and organizational culture in India. The instructor should focus on two aspects in the case. The broader aspect is Entrepreneurship in India and the narrower and more focused ones like Women Leadership.

CCS 3: Entrepreneurship

Teaching notes are available for educators only.

The purpose of this paper is to investigate how fairness evaluations are constructed in a B2B context.

This paper conducts a field study of Air Greenland and its internal and external customers based on strong structuration theory (Stones, 2005). The authors employ context and conduct analysis to analyze how fairness evaluations emerge across four levels of structuration.

The paper finds that fairness evaluations emerge as a result of the interaction between external institutional pressures, agents' internal structures, and situated reflection and outcomes. The construction of fairness evaluations was embedded in contradictory institutional structures, where groups of actors constructed different evaluations of fair profits, procedures and prices. Actors furthermore worked on changing position-practice relations which shifted relations, external structures and affected outcomes and fairness evaluations.

This paper offers a conceptualization of embedded agency as emerging across the four levels of structuration. This contributes to debates in strong structuration theory through conceptualizing and analyzing how actors may be both be constrained and oriented by structures while reflexively adapting structures across the four levels of structuration. The paper extends extant pricing fairness research by illustrating how actors' construction of fairness flexibly develop fairness evaluations while responding to legitimacy and societal demands, including the needs of particular customer groups.

A stylized fact in finance literature is the belief in positive relationship between ex ante return and risk. Hence, a rational investor, by utility preference axiom can only consider committing fund in asset which promises commensurate higher return for higher risk. Questions have been asked as to whether this holds true across securities, sectors and markets. Empirical evidence appears less convincing, especially in developing markets. Accordingly, the author investigates the nature of reward for taking risk in the Nigerian Capital Market within the context of individual assets and markets.

The author employed ex post design to collect weekly stock prices of firms listed on the Premium Board of Nigerian Stock Exchange for period 2014–2022 to attempt to answer research questions. Data were analyzed using a unique M Vec TGarch-in-Mean model considered to be robust in handling many assets, and hence portfolio management.

The study found that idea of risk-expected return trade-off is perhaps more general than as depicted by traditional finance literature. The regression revealed that conditional variance and covariance risks reveal minimal or no differences in sign and sizes of coefficients. However, standard errors were also found to be large suggesting somewhat inconclusive evidence of existence of defined incentive structure for taking additional risk in the market.

In terms of choice of methodology and outcomes, this research adds substantial value to body of knowledge. The adapted multivariate model used in this paper is a rare approach especially for management of portfolios in developing markets. Remarkably, the research found empirical evidence that positive risk-expected return trade-off, as known in mainstream literature, is not supported especially using a typical developing country data.