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Many thanks to Professors Marko Sarstedt, Manfred Schwaiger, and Charles R. Taylor, Volume 22 has assembled a set of outstanding articles addressing the methodological issues in international marketing research. Readers should find these articles informative and valuable. In addition to these articles on the special topic of international marketing research methods, a regular article is included in Volume 22. Advances in International Marketing encourages innovative research and “out-of-the-box” research ideas in international marketing. In future volumes, it will continue to promote special topic-based volumes, while also publishing “regular” papers that are reviewed outside of the themed volumes. The regular papers must show innovative research that addresses any significant issues in international marketing and should be submitted to the Series Editor.

“Garbage in, garbage out” is a common expression that academics and practitioners use to emphasize that empirical analysis is only as good as the basis on which it relies. Although the importance of sound data and valid measures has long been acknowledged, it is nevertheless often problematic to follow required quality standards in concrete research situations. Potential sources of error are usually unknown, methods to ensure data quality are unavailable, and existing methods for scale development, index construction, data collection, and data analysis are insufficient or erroneously applied. This is especially true of international marketing research, which often makes great demands on the data and measures used, as well as on the research methodology applied. Against this background, this volume addresses issues pertaining to measurement and research methodology in an international marketing context. Thanks to the efforts of authors and reviewers, we are pleased to present nine articles that deal with cutting-edge topics such as formative measurement, response-bias in cross-cultural research, marketing efficiency measurement, and segmentation methods.

Purpose – Marketers are under increasing pressure to demonstrate the financial return associated with marketing expenditures. Concurrently, more attempts at measuring return on investment from marketing as well as achieving other long-term goals such as building brand equity and increasing shareholder value have been made. As a result of this emphasis, the degree to which advertising budgets are spent efficiently and the impact of these expenditures on the bottom line are an important topic to study.

Methodology/approach – This study applies data envelopment analysis (DEA) to a group of large firms to assess the degree to which companies spend advertising dollars efficiently and to examine the impact of advertising efficiency on investor behavior and, ultimately, stock prices.

Findings – The analysis reveals that firms that advertise more efficiently are rewarded by investors by positive stock returns.

Research limitations/implications (if applicable) – The study is limited to large enterprises with strong brands within a time frame of only four years.

Practical implications (if applicable) – The results imply that it is advisable for marketing managers not to limit their focus to increasing market-based assets at any cost. The efficiency of their efforts can send a positive signal to investors and contribute to shareholder value enhancement.

Originality/value of the chapter – The chapter finds investors to pay attention not only to the effectiveness of advertising activities but also to their efficiency. The study also demonstrates how DEA and stock return response modeling can be combined to investigate the link between advertising efficiency and investor behavior.

Purpose – Partial least squares (PLS) path modeling has become a pivotal empirical research method in international marketing. Owing to group comparisons' important role in research on international marketing, we provide researchers with recommendations on how to conduct multigroup analyses in PLS path modeling.

Methodology/approach – We review available multigroup analysis methods in PLS path modeling and introduce a novel confidence set approach. A characterization of each method's strengths and limitations and a comparison of their outcomes by means of an empirical example extend the existing knowledge of multigroup analysis methods. Moreover, we provide an omnibus test of group differences (OTG), which allows testing the differences across more than two groups.

Findings – The empirical comparison results suggest that Keil et al.'s (2000) parametric approach can generally be considered more liberal in terms of rendering a certain difference significant. Conversely, the novel confidence set approach and Henseler's (2007) approach are more conservative.

Originality/value of paper – This study is the first to deliver an in-depth analysis and a comparison of the available procedures with which to statistically assess differences between group-specific parameters in PLS path modeling. Moreover, we offer two important methodological extensions of existing research (i.e., the confidence set approach and OTG). This contribution is particularly valuable for international marketing researchers, as it offers recommendations regarding empirical applications and paves the way for future research studies aimed at comparing the approaches' properties on the basis of simulated data.

The importance of customer satisfaction as a critical success factor has been recognized by practitioners and academics for several years now. Although customer satisfaction plays an important role in industrial markets due to their special characteristics, most researchers focus on consumer goods or services, leaving industrial goods fairly uncovered. In order to give manufacturers of industrial goods well-founded recommendations on how to reach a high level of satisfaction, the main drivers of customer satisfaction have to be revealed. The identification of these drivers is the primary goal of this study. Taking into account that there has been a change of paradigms in scale development we created a state-of-the-art questionnaire consisting of 15 constructs to be measured with 52 items, which was administered to respondents in 12 countries worldwide. The drivers’ analysis using Partial-Least-Squares (PLS) reveals a lot of penalty-services, whereas only the quality of machines and the quality of quotations offer a significant chance on increasing customer satisfaction, therefore disagreeing with previous results.